The arrangement involves Overture providing search results in the Microsoft Network search pane in Internet Explorer. Overture has a separate deal to provide search results on MSN.com through 2003.
The extension is designed to give the companies time to discuss a longer-term contract. Microsoft is one of Overture's key customers.
Overture has been battling for portal deals with rival search engine company Google, which has recently won over America Online and EarthLink.
Overture provides "pay for performance" searches, through which advertisers pay to get their sites listed in search results. The Pasadena, Calif.-based company makes money each time a Web visitor clicks on a paid link found through its service.
