In order to mollify antitrust regulators who are threatening to block the alliance, a list of concessions has reportedly been submitted by Google Inc. and Yahoo Inc. This list will deflate their proposed Internet advertising partnership.

During the weekend, the U.S. Justice Department received the revisions from the two companies.

On Monday, a very well known journal posted on its Web Site, “Google and Yahoo are now willing to limit the amount of revenue generated from the partnership and shorten the deal's duration. Google's advertising customers would also be given the option to not have their commercials appear on Yahoo's Web site.”

Yahoo, under this new plan, would be limited to getting no more than 25% of its search advertising revenue from Google. Further, after two years, their partnership would expire. This is quite opposite to the original contract that was signed in June. It was supposed to get expire after 10 years and there was no restriction on Yahoo on how frequently it could draw upon Google's technology for displaying ads alongside its search results.

Earlier, Yahoo was hopeful that Google’s system will let it increase its revenue by $800 million annually. However, now the new contract would cut that amount to half due to the imposed restrictions.

“Putting a 25 percent limit on its revenue from Google's system would mean limit Yahoo's take to about $400 million annually, based on Yahoo's search advertising sales during the past four quarters,” added the report posted on the Web Site.

Representatives from Google and Yahoo though declined to comment anything on the Journal’s report, did admit of being in talks with the Justice Department in hopes of winning clearance to join forces.