Today, Yahoo will flip the switch for the new "Marketplace Design" algorithm in the US market, the system commonly known as Panama. Parts of Panama have already gone live in the past few weeks. But throughout today, Yahoo will be rolling out the last piece -- a new ranking algorithm and its associated new pricing mechanism.
With the new ranking algorithm, Yahoo will move from its long-standing and original bid-to-position model (where those who pay the most rank first) to a system that takes bids, ad quality and other factors into consideration in determining how ads are ranked on search results pages (a system similar to that long used by Google).
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