Facebook has entered into negotiations with Yandex, the Russian search giant, over a potential partnership deal, Russian business daily Vedomosti newspaper reported Monday, citing unnamed sources close to both companies.
The companies are discussing exchanging user data and possible joint promotions, Vedomosti reported. One of the newspaper’s sources, allegedly close to Facebook, said that negotiations are still in the early stages.
Facebook is allegedly interested in a number of Yandex services. These include Yandex’s taxi, hotel, air ticket and event ticket booking applications, as well as Yandex.Market, the leading e-commerce marketplace in Russia. Facebook users could also be granted free access to the Yandex.Music service.
Facebook users could be able to pay for Yandex services directly through the social network, allowing both companies to share the revenue, Vedomosti reported.
One of Vedomosti’s sources also said that the companies are discussing a potential partnership in the field of targeted advertising to develop ad sales. User data could be shared, with Yandex showing Facebook users discounts at local shops or cafés. By combining their respective inventories, the companies may significantly increase their reach, believes an industry player interviewed by Vedomosti.
Facebook has so far not responded to requests for comment. A spokesperson from Yandex said the company was always open to negotiations with other firms.
In April 2016, according to data from market research agency TNS, Facebook attracted some 23 million users from 12 to 64 years of age from across Russia (not including traffic from mobile devices). The US social network is lagging far behind its Russian competitors Vkontakte (VK.COM) and Odnoklassniki, which attracted 32 and 48 million Russian PC and notebook users, respectively.
That same month, Yandex services were used by 54 million Russian PC and notebook users.
The partnership with Facebook, if confirmed, could help Yandex gain more traction among mobile users. In this field, the Russian search engine has been overtaken by Google.
This story includes excerpts from an article published in The Moscow Times.
