MG Siegler over on VentureBeat has a piece on how Yahoo is talking with Google about having them handle some of the advertisements on its search pages:

"This partnership is said to be a test for what could become a larger one — which reads a lot like: A test, small enough to make sure the government doesn’t get involved with its antitrust hounds, but with enough promise to allow Yahoo to fend off Microsoft."

The Wall Street Journal broke the story of the partnership, which portends bigger things between the two giants perhaps. The test will last up to two weeks and involve no more than 3% of Yahoo's Web search queries, Kevin Delaney and Matthew Karnitschang write.

This is a prediction that Yahoo! will announce a full-fledged partnership with Google by the end of Q2, officially joining the Adsense program. How much of its natural search results that Yahoo! ultimately decides to farm out to Adsense is outside of the scope of this prediction and will not factor into judgement.

UPDATE: It seems as though the deal is progressing, though nothing formal has yet been announced.