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Motorola To Embed Yahoo Services Mobile Phones

Motorola Inc. on Thursday said it has agreed to embed Yahoo Inc. services in tens of millions of mobile phones.

The multi-year agreement has the Schaumberg, Ill., cellular-phone maker preloading devices with Yahoo Go for Mobile, a package that includes email, local search and an address book. Motorola plans to start shipping Yahoo-equipped phones in the first half of 2007 in the Americas, Europe and Asia.

The deal stems from a partnership the two companies announced in July 2005. Under the alliance, Motorola, the world's second largest cellular phone maker, agreed to embed the Web portal's services in its Linux-based devices, broadband home products and iRadio service.

The agreement was announced two days after Yahoo issued a revenue forecast for 2006 that disappointed Wall Street. In addition, the company delayed the launch of an upgrade of its advertising system.