Yahoo CEO and cofounder Jerry Yang probably spoke for more people than he could possibly imagine when he said, "clearly it is time to move on," at a news conference after the company announced talks with Microsoft have ended and there's no acquisition deal in the making. His remarks came after Yahoo and Google said they've entered an online ad deal, which wound up being the big IT news of the week. Until that point, Apple's new iPhone 3G was getting the bulk of attention. Meanwhile, MySpace and Mozilla offered up advance notice on news for next week.

1. Update: Google, Yahoo strike ad deal: A few hours after Yahoo announced that it had ended talks with Microsoft without an acquisition of all or part of Yahoo in the offing, the company said it will run Google ads along with its search results. The deal linking the online advertising businesses of the companies will bring in US$250 million to $450 million in operating cash flow in the first 12 months and has the potential to generate $800 million in revenue for Yahoo. The nonexclusive deal is set for an initial stretch of four years, with a Yahoo option to extend it for six more years after that. Although we wouldn't place any bets that this whole saga is over, the latest news knocked this week's round of public sparring between investor Carl Icahn and Yahoo Chairman Roy Bostock out of the headlines.

2. WWDC: Apple slashes prices with iPhone 3G, shipping in July and Hands on with iPhone 3G: Apple's iPhone 3G will be out in July, CEO Steve Jobs announced to open the company's Worldwide Developer Conference. Better yet, the price has been slashed $200 to $199 for the 8G-byte model and to $299 for the 16G-byte version. The new iPhones will initially be available in 21 countries, with roll out to more than 70 by year's end.

3. MySpace to shake up its layout: A little advance word on news for next week from MySpace -- the popular social-networking site will unveil a major redesign, with the first phase due for roll out Wednesday. The home page, search engine, navigation scheme and video player all will be revamped as part of the initiative, which is meant to make the site easier to navigate and the design less fussy.

4. Mozilla sets July 17 for Firefox 3 'Download Day' And more advance notice, this time from Mozilla, which set Tuesday as "Download Day" for Firefox 3. The company is spreading the word with the hope that Firefox aficionados will download the new version of the Web browser on the first day of its release with the aim of setting a new record in geekdom for the largest number of downloads in 24 hours.

The IDG News Service is a Network World affiliate.