How Much Is AOL's Google Deal Worth?

tim armstrongAbout thissss much

AOL’s new Web and mobile search deal with Google will boost AOL profits $20 million to $40 million in 2011, according to “preliminary estimates” from Jeffries analyst Youssef Squali.

“This could roughly add $0.10-0.20 to EPS for 2011, all else equal,” he writes.In late 2009, we estimated AOL search business throws off $600 million per year.

That number is shrinking, though, as AOL loses the subscribers who start their Web sessions with AOL.com and its search bar.

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