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Nov. 13, 2008

We managed to get some additional details about Verizon Wireless' proposed deal with Microsoft as a mobile search partner.

This is despite recent indications that the soon-to-be largest U.S. wireless operator might partner with Google.

Competition is in fact intensifying rapidly in this segment.

Microsoft is reportedly offering Verizon around $600 million in annual payment from some of its advertising revenue.

That amount is more than twice what Google has already offered, and is in exchange for Verizon selling cell phones with the Windows Mobile operating system.

For the software giant, striking such a deal may be necessary at any cost, simply because Google already partners with Sprint Nextel, while Yahoo partners with AT&T... This leaves Microsoft without any major mobile search opportunity.

Three years ago, Disney partnered with Sprint for an MVNO, but that combination ceased last year for unspecified reasons.

With all of this happening, Verizon recently struck a partnership of a different kind, with an animated mouse and friends...

Disney will include Verizon wireless phones in new interactive theme park attractions starting in March 2009, Disney officials said.

Additionally, Verizon will help Disney develop mobile applications that park visitors can use regardless of their network implementation.

It will be interesting to see how this unfolds in the next few weeks. We expect more of these deals to happen real soon.

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Source: Verizon Wireless.