Lycos Europe runs different technologies from Lycos Inc. for their search engine and are not affected by this problem.
The information has been provided by SRL Office.
The encoded string will be returned to the user with > instead of > and the users browser will create a input field (it handles it as correct HTML code).
Why is this dangerous?
A malicious user may create an interface embedded into the engines pages (if the search engine supports PHP this is even worse; a malicious web site can build up a shell) or start a redirect attack.
A user creates a page with thousands of hidden words on his page to surely be indexed and found easily (maybe sex and other often-queried words).
He will embed hidden code into his site (on top, this is always shown by default if no Meta description exists) like: