Papers Embrace Enemy

Google has long had online advertising relationships with major newspapers, using technology to post ads that match the content on a specific Web page.

"[This] is an opportunity for us to show these advertisers the power and response of print advertising, and specifically the power and response of advertising in The New York Times," says Denise Warren, chief advertising officer of the New York Times, about the latest agreement. "We see it as a test with very little to no risk."

Unlike the Google deal, Yahoo!'s agreement with newspapers does not include the prospect of selling print ads.

"We have not had discussions about Yahoo! selling onto our print products," said Singleton. "That's not to say that we couldn't have them."

Edward Atorino, analyst with the Benchmark Company, says these deals represent an early step for newspapers in repositioning themselves for the digital age.

"This is a bit of light at the end of the tunnel for newspaper publishers," says Atorino. "It's another way for them to get a piece of the revenue that has moved online and start the process of fixing their business models."