Thursday, February 18, 2010

Google will pay close attention to Microsoft, Yahoo deal

According to foreign media reports, by the end of July 2009, Yahoo, Microsoft reached a 10-year search and advertising deal, Google aims to launch market challenges. After a long 8 months of anxious waiting, Microsoft and Yahoo deal final approval. Under the previous agreement, Microsoft will be Yahoo's search technology provider, while Yahoo will be exclusively responsible for the two companies worldwide search advertising sales services, but the specific will use the Microsoft adCenter online advertising platform. Cnet columnist Tom Krazit (Tom Krazit) this answers a few questions about this transaction.

Q: How do the two sides reached the deal?

A: The two sides deal of progress is very slow. Beginning in 2008, Yahoo and Microsoft, once on a series of acquisitions, partnerships and the formation of the League of issues discussed. Since then, Microsoft's acquisition of Yahoo's offer was when he was Yahoo's CEO Jerry Yang rejected. The failure of the deal, as well as the continuous decline in Yahoo's performance, but also led to the downfall of Yang, and Carol Bartz's successor. As the market among the three competitors, two will be merged, it will inevitably lead to regulatory review of this transaction to verify whether the transaction would hinder market competition.

Q: After completion of the transaction will be what happens to Yahoo's Web site?

A: This change is difficult to detect. Microsoft currently provides search results and keyword ads produce the back-end technology, but Yahoo will continue to control the results appear on the page. This means that Yahoo can still search the content in accordance with a variety of content to users.

Q: Yahoo BOSS and Search Monkey and other technical prospects?

A: Microsoft will be entitled to use these search techniques. Microsoft and Yahoo reached a 10-year search and advertising deal, which means that Microsoft, like Yahoo the right to choose to use technology, and to give up do not like Yahoo's technology.

Q: Microsoft will be what happens?

Answer: in exchange for increased market share, Microsoft will have to give up control of the major search advertising. Microsoft used Yahoo's future, also to select what will be the back-end search technology, as well as specific Yahoo employees to work for Microsoft. Microsoft had previously said that Yahoo's user data obtained, the company's ranking technology will be improved. However, Google have been skeptical.

Q: Does Google care about this deal?

A: This is undoubtedly a nonsense, of course, extremely concerned about Google's co-operation between Microsoft and Yahoo. The future, Google Microsoft and Yahoo after the transaction will be how they affect the search experience and advertisers interested in watching. Advertisers may be better than Yahoo or Microsoft is looking forward to the completion of the transaction. In January of this year, Google accounted for 65.4% of the U.S. search market share; Yahoo and Microsoft's share of 28.3%. Advertisers certainly do not want to Google a rule in the search advertising market.

Q: When will the changes brought about the discovery of this deal?

Answer: it is likely to continue for some time. Honestly speaking, the deal is more concerned about the cost structure of Yahoo, Microsoft's search ambitions, as well as advertising budgets, rather than the user experience.