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Search Engines join forces, Google worried?

Tanya Goodin
Tanya Goodin
CEO
29 July 2009

YaBing, or Microhoo?

Finally Yahoo! and Microsoft have decided to join forces no doubt hoping the synergy they create will be enough to take on Google in both natural search and through their online advertising platforms.

By trading search engine technology (Bing to Yahoo!) and advertising platform (Yahoo! to Bing) the plan would be to have an offering that will utilise the best of both companies and create a viable alternative to Google. Whether either one of these properties is good enough to challenge Google is a moot point, and has been for the last 5 years. So whether the new entities will actually eat into Google’s share significantly is doubtful, at least in the short term.

What worries me is the fact that we are now down to effectively two main search engines. Who knows, maybe Ask will step up here but I am not convinced. But I hope they do!

It was interesting to see that new Chief Executive Carol Bartz, who some see as vital to getting this deal done. has pulled this off in a relatively short space of time. Bartz then went on to made a predictable rally call of “This agreement comes with boatloads of value for Yahoo, our users, and the industry. And I believe it establishes the foundation for a new era of internet innovation and development”.

Fine, lets see it and see it soon. As impressed as I have been with Bing its been a long time coming so just how quickly will they join forces and we start to see real changes for the better remains to be seen.

Still, good luck to them in this 10 year deal which may be more centered around costs savings than innovation. And who knows, maybe the antitrust regulators will have the last say and block the deal? Where then for them and us?

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