Clear Channel Media and Entertainment and Yahoo! announce a multi-faceted agreement involving Clear Channel's iHeartRadio digital music service. The deal is for the distribution and cross-promotion of iHeartRadio's digital content, as well as the upcoming iHeartRadio Music Festival.

Through this multi-year deal, iHeartRadio will become Yahoo!'s premier digital radio service. Yahoo! and Clear Channel content will be cross-promoted on iHeartRadio.com, local radio station websites, and the entire Yahoo! Media Network, including Yahoo!’s entertainment sites Music, Movies and omg!. Yahoo! will also become the exclusive web and mobile destination for the 2012 iHeartRadio Music Festival. Yahoo! and Clear Channel will also collaborate on nearly a dozen additional events annually where Yahoo! will be the exclusive live broadcast partner of the event. Clear Channel will lead all selling of sponsorships around the iHeartRadio Music Festival and live streaming opportunities.

"We were thrilled when Ross approached us about this partnership. We like the direction Yahoo! is going and by working together we can accelerate growth for the both of us," said Bob Pittman, Clear Channel CEO.

"Clear Channel has accelerated their digital strategy overnight under Bob's leadership," said Ross Levinsohn, Interim CEO of Yahoo!. "Yahoo! is excited to be the exclusive digital streaming partner for the biggest music events of the year including the iHeartRadio Music Festival and additional concerts. This partnership will expand our ability to provide consumers and advertisers with the best premium content available and provide Clear Channel with unmatched digital reach."

Earlier this week, Yahoo! announced an agreement with Spotify, integrating the on-demand music service into Yahoo!'s Media Network.