Yahoo! will serve as the exclusive provider of sponsored search and contextual ads to all of Viacom’s 33 broadband sites, including MTV.com, VH1.com,

The deal allows for potential expansion to more than 140 additional Viacom websites across the globe. The ads will be powered by Yahoo!’s newly launched search marketing system, known by its project name “Panama”.

Viacom president and CEO Philippe Dauman said, “This far reaching partnership brings together world-class content and technology for the benefit of users and advertisers alike. Yahoo! has made impressive strides with its new search marketing system. As a global leader in content for every screen and platform, we couldn’t be more pleased to have them as a partner and we look forward to growing our relationship even more over time.”

Yahoo! provides search marketing products and services to hundreds of thousands of advertisers in 22 countries worldwide. Currently available in the U.S., Yahoo!’s new search marketing system is designed to deliver even more relevant sponsored search and contextual ad results to users. By encouraging advertisers to focus on the quality of their sponsored search and contextual advertisements, Yahoo!’s new system creates a more valuable marketplace for users, advertisers and publishers.

Yahoo! chairman and CEO Terry Semel says, “Viacom is a global leader in entertainment that shares Yahoo!’s commitment to connecting users to the content, products and services for which they are looking while respecting copyrights and other intellectual property rights at the same time. Aligning Viacom’s popular brands, leading content and large audience with Yahoo!’s more targeted, relevant advertising, marks the beginning of a powerful and engaging partnership between our two companies.”