Yahoo! and Vodafone have agreed to work in collaboration on a mobile advertising scheme which is expected to be rolled out across the UK during the early part of 2007.

Under the terms of what both companies expect to be a mutually beneficial marketing agreement, Yahoo! will supply advertisements to be displayed via a number of Vodafone services.

British consumers who agree to view the Yahoo! ads will get benefits in the shape of discounted services from their supplier.

The latest deal between the two businesses offers advertisers a "compelling proposition", according to bosses at Vodafone, the worldwide telecommunications company.

Senior vice president of Yahoo! Marco Boerries commented: "This partnership demonstrates Yahoo!'s continued focus on extending our leadership in display advertising across multiple platforms."

Earlier this year, Vodafone ran a series of consumer research initiatives in order to create a more effective marketing focus for its so-called Mobile Plus Strategy, which was rolled out in May.

Yahoo! is presently the second largest of the world's online search engines, behind Google, which has been established as the market leader.