Verizon Picks Microsoft For Its Mobile Search Provider

Las Vegas, NV (AHN) - Verizon Communications, Inc. has chosen Microsoft Corp. as its default Internet search browser provider for its mobile devices, it was announced at the Consumer Electronics Show in Las Vegas.

The five-year deal is significant because Microsoft hasn't had a search agreement in the United States. Verizon chose Microsoft over Google, the current search provider for Sprint mobile devices. Yahoo is the search provider for AT&T and T-Mobile.

Microsoft will also serve up advertizing for the Verizon mobile products. The deal was reported by several media outlets to be between $550 million and $650 million.

The deal is also a big deal because the mobile search market is set to explode, industry watchers predict. Right now, according to Nielson Mobile, only about 20 percent of cell phone customers use their devices to search the Internet, but the market could grow to be a $2.3-billion industry by 2010.