Babylon, the online translation company, said Thursday that it had passed a review by Google of its user policies, lifting a cloud over the company’s future with its single biggest source of revenue.
The news boosted Babylon shares on the Tel Aviv Stock Exchange 6.5% to NIS 22.40.
The loss of Google would have been a major blow to Babylon, even though it also recently inked a deal with Yahoo − a major but still smaller online competitor of Google, which operates the world’s biggest search engine.
Unlike websites that provide content that use the traffic they generate to sell advertising on their sites, Babylon sends its users to search engines such as Google and getting a fee in return.
Babylon’s four-year deal with Yahoo calls for cooperation between the two companies in Internet and mobile.
“Until some time ago, Google constituted about 80% of our revenues,” Babylon’s outgoing CEO Alon Carmeli said recently. “But now we are interested in achieving a situation in which none of our partners supplies us with more than 40% of our revenues. We will also continue work with a lot of small entities.”
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