Reuters: LookSmart Says Losing Key Microsoft MSN Deal
Yahoo News: MSN Agreement With LookSmart to End January 15, 2004
SearchEngineWatch: MSN To Drop LookSmart

LookSmart is still a player, but the loss of MSN as a syndication partner is a huge blow. The Reuters article mentions that discussions are underway with Ask Jeeves and AOL, but no specifics are given. The fact that LookSmart is rolling out an auction style paid placement system that works based on a CPM formula may have some value to other players if they can reach critical mass during Q4. MSN was quoted by Danny Sullivan as having done a relevancy test, which LookSmart failed in comparison with algorithmic results that were not from LookListings. No details were given, but perhaps computers just do it better.