Category > Microsoft

Microsoft-Yahoo Search Deal: The Most Important Facts (And Some Opinion)

admin » 29 July 2009 » In Microsoft, Search Engines » No Comments

Microsoft-Yahoo Search Deal: The Most Important Facts (And Some Opinion)

Now that the search deal struck between Microsoft and Yahoo has been officially confirmed by both companies, by means of a press release and a website dubbed ChoiceValueInnovation.com, let’s take a step back and analyze the most important tidbits from the announcement:

As expected, Microsoft will power Yahoo Search while Yahoo! will become the exclusive worldwide relationship sales force for both companies’ advertisers.

This will have major repercussions for the online advertising industry, where both Microsoft and Yahoo carry a lot of weight. Likely, it will take months if not years to align these important businesses. On the flip side, as Yahoo CEO Carol Bartz indicated in the press release, advertisers and publishers would benefit significantly from a unified platform and the promise of scalability all around. I believe this is indeed the core advantage of the deal in terms of being able to compete with the dominant rival to both companies, Google.

Of course the companies didn’t spell out Google in the official announcements made this morning (except for a link on the Yahoo blog post), but which other company “dominates more than 70 percent of all search”? We actually thought it was more like 65%, but the reality is that this difference in statistics isn’t nearly as important as the obvious fact that Google controls the large majority of search market share on one hand and even more of the advertising dollars that flow through search, on the other hand. Clearly, Microsoft desperately wants a piece of this cake, and it won’t settle for a small one.

Continue

Continue reading...

Tags: , ,

Microsoft, Yahoo! Come Together

admin » 29 July 2009 » In Microsoft, Search Engines » No Comments

Microsoft, Yahoo! Come Together

It’s been a rocky relationship, but the marriage is finally here: Microsoft and Yahoo! are uniting in Internet search.

After months of back-and-forth–and the installation of a new CEO at Yahoo! ( YHOO – news – people )–the two companies announced a search partnership Wednesday, to help counter industry giant Google ( GOOG – news – people ). Advertisers will “no longer have to rely on one company that dominates more than 70% of all search,” said Yahoo! and Microsoft, as they announced a ten-year agreement to join forces.

The deal got a chilly reception from Yahoo! investors: Shares of the portal were down 7.3%, or $1.25, to $15.97, during pre-market trading in New York. Shares of Microsoft ticked up 0.4%, or 9 cents, to $23.56.

Microsoft’s new search engine, Bing, will become the default search engine on Yahoo!’s site, as reported in the press on Tuesday, and Microsoft will also get an exclusive license to Yahoo!’s search technology. Meanwhile, Yahoo! will become the exclusive sales force for both companies’ premium search advertisers. “Self-serve” advertisers will be catered for by Microsoft’s AdCenter platform, which will also set prices by automated auction for all search ads.

Continue

Continue reading...

Tags: , ,

Google’s Growth To Slow

admin » 16 July 2009 » In Google, Microsoft, Search Engines » No Comments

Google’s Growth To Slow

The search giant isn’t immune to the economy but it’s held up well so far.

The Internet search leader Google reports earnings after the bell on Thursday as rival Microsoft has recently launched a competitor search engine called Bing and the two Web giants seem poised to go head-to-head with cloud computing apps.

So far as the core search business is concerned, Microsoft is still in the spend and launch phase of Bing and the early reports are that it’s taking share not from Google but from rivals like Ask and America Online. It’s not that Bing isn’t as good as Google, it’s that replacing Google is like replacing a car that works really well and that you really like.

Microsoft aside, Google has to contend with a vast recession that’s brought down ad prices in all mediums. On that front, Google is holding up better than most says Yousseff Squali, an analyst at Jefferies & Company. Squali expects that Google’s global paid clicks will grow by double digits globally, exceeding Street forecasts. Though growth has been declining over the past five quarters the performance is pretty solid considering the economic environment.

Continue Reading

Continue reading...

Tags: , ,