Monday, February 22, 2010

The Search Engine War Real

Microsoft attempts to compete with the might of the Google search engine more advanced trail after authorities in the U.S. and Europe, last Thursday, approved the cooperation is a software company with Yahoo. The agreement which was decided 10 years both in July and is Microsoft's biggest step to confirm its presence in the online business to rival Google.
Microsoft has lost five billion dollars in this online business during this four-year period. Microsoft will bring some new things to equip its search engine - Bing - who took 3.3 percent market share since its launch last June. Competition from internet search advertising is just one small part of the war in income between Microsoft and Google, in addition to operating systems and mobile phones. Agreement approved unconditionally by the U.S. Justice Department and the European Commission on Thursday (18 / 2) expected to be a stepping stone from a profitable online business. "Surely now, the goal is to increase market share, we will grow our business into a profitable business, and we believe ourselves to it," said Yusuf Mehdi of Microsoft is responsible for search engines and portals MSN Bing. Microsoft's stock price increased 1.2 percent and Yahoo had an increase of 0.7 percent in the Nasdaq stock exchange. Google is not in opposition with the partnership, not an opinion specifically about the agreement but said there will always be a tight competition in the advertising business on the internet search. Its market share increased 1.1 percent. With the deal, Bing also will be a search engine Yahoo, and the company will focus on inviting a large advertiser. Microsoft will handle the auction automatically from the search ads that used the second page, and paid in accordance with the portion of Yahoo search ad sales generated from its homepage. Software company that hopes to build his own advertising channel that can be accessed two pages would be a credible alternative other than Google. Based on comScore survey of U.S. Internet users last month, Yahoo market share reached 17 percent, while Microsoft took 11.3 percent. In theory, the partnership with Yahoo could give Microsoft more than 28 percent market share of Internet search traffic against Google with a 65.4 percent market share. Globally, based on data StatCounter last November, Google still dominates with 90 percent of the search market compared with 7.4 percent of Yahoo and Bing partnership. Partnership Microsoft and Yahoo will take some months to decide. With approval from the U.S. and European authorities, Microsoft was able to put Bing on Yahoo. Both have to explain whether the display would like Bing at Yahoo, but certainly there will be some adjustments to Yahoo search results. Both hoped the deal could actually implemented at the end of this year and globally in early 2012. The deal also has obtained approval from the government of Australia, Brazil and Canada, but requires government approval the U.S. and Europe in order to execute. Both companies said they were awaiting the decision from the authorities in Korea, Taiwan and Japan.