“The Arab online world is going to get bigger! A whole lot bigger” is what maktoob.yahoo.com is saying. Yes, the internet giant Yahoo has lately announced its proud entry into the extensive Arab market through the acquisition of Arab’s leading internet portal maktoob.com. This big leap, which Yahoo is dubbing as its “biggest geographical expansion in years”, will enable the web giant to extend its influence over some 16.5 million people. Yahoo entered into a definitive agreement with the Jordan-based Maktoob Group on Tuesday, Aug 25, 2009. Though there was no official word on the financial terms, the popular technology blog TechCrunch.com estimates the deal to be worth around $85million. Maktoob Group’s other verticals that include souq.com, cashU.com and other companies Araby.com and Tahadi.com are not covered in the deal and will operate as a new company called Jabbar Internet Group. These previous subsidiaries of the Maktoob Group will be promoted on the Yahoo website.

Both the companies are taking the deal as a positive step towards making the internet more productive for the Arab users. According to Yahoo’s CEO Carol Bartz "This acquisition will accelerate Yahoo!’s strategy of expanding in high-growth emerging markets where we believe Yahoo! has unparalleled opportunity to become the destination of choice for consumers.” "Yahoo! and Maktoob are natural partners and this combination should help energize the Internet market in the region as a whole. We are excited about Yahoo! building a stronger presence in the Middle East and bringing its compelling suite of services to Arab users in Arabic," said Samih Toukan, Founder of Maktoob. Ahmed Nassef, general manager of Maktoob.com said, "Internet users in the Arab world will have access to Yahoo!'s vast content portfolio, as well as world-class communications products, which will be available in Arabic for the first time. In addition, advertisers will be able to leverage the vast reach of the newly combined audiences to effectively market to consumers across the region."

Having founded in 2000, Maktoob has now emerged as the Arab region’s leading web portal. Maktoob.com is accessed across UAE, Jordan, Kuwait, Egypt and Saudi Arabia with a whopping 16.5 million unique users. According to surveys, internet usage in the Middle East has increased tenfold since 2000. The World Bank estimates the Arabic speakers to be over 320 million worldwide while less than one per cent of all online content is in Arabic. Through this deal, Yahoo will be able to offer content in Arabic language. Also Yahoo products and services will soon be offered in Arabic language – instant messaging and email to start with. "With the acquisition of Maktoob.com and our investment commitment to the region, the Arab world will soon get the entire Yahoo! experience in Arabic with relevant local language content, programming and services," Yahoo! CEO Carol Bartz said in a statement.

Buying of Maktoob.com is only a small part of Yahoo’s larger business strategy to expand into the world’s emerging markets and optimize the regions’ untapped potential besides benefiting the users with enhanced Yahoo products and services. The acquisition is set to be completed in the fourth quarter of this year which will make maktoob.com a wholly-owned Yahoo subsidiary. In addition to other benefits, the deal would boost the internet giant’s market share and help bring it closer in competition to the undisputed market ruler Google which had already begun Arabising its products and services back in 2006.