segunda-feira, 4 de fevereiro de 2008

Fw: Could Google Save Yahoo from Microsoft?

URL:
http://googlesystem.blogspot.com/2008/02/could-google-save-yahoo-from-microsoft.html
Microsoft is taking over Yahoo! by Gnal. Licensed as Creative Commons
Attribution.

Even if it's hard to believe that Yahoo will accept it, there's a
simple way to make Yahoo more profitable: drop its search advertising
service and use Google AdWords. Google has a better technology for
ranking ads, a bigger inventory and higher click-through rates. If
Google accepts to offer Yahoo most of the earnings, it's likely that
Yahoo's profits will make investors happy again.

According to Wall Street Journal, "Google Inc. Chief Executive Eric
Schmidt called Yahoo Inc. CEO Jerry Yang to offer his company's help in
any effort to thwart Microsoft Corp.'s unsolicited $44.6 billion bid
for Yahoo, say people familiar with the matter. (...) Google could play
a role in attempts by others to outbid Microsoft, or by Yahoo to remain
independent. Google could potentially offer money, or guaranteed
revenue in return for a Yahoo advertising outsourcing pact, under that
scenario."

There are rumors that Yahoo already negotiates with Google the
outsourcing of its search ads in Europe. This could be a good news for
Google, who also provides ads for Ask.com.

In a harsh post from the official Google blog, David Drummond is
worried that Microsoft's acquisition of Yahoo could jeopardize
Internet's openness: "Could Microsoft now attempt to exert the same
sort of inappropriate and illegal influence over the Internet that it
did with the PC? While the Internet rewards competitive innovation,
Microsoft has frequently sought to establish proprietary monopolies --
and then leverage its dominance into new, adjacent markets. (...)
Microsoft plus Yahoo! equals an overwhelming share of instant messaging
and web email accounts. And between them, the two companies operate the
two most heavily trafficked portals on the Internet. Could a
combination of the two take advantage of a PC software monopoly to
unfairly limit the ability of consumers to freely access competitors'
email, IM, and web-based services?"

It's not clear if Google is truly worried by this potential
acquisition, since a Microsoft+Yahoo company would be very far from
Google's dominant position in search and search ads*, while Yahoo's
absorption would take a lot of time. Microsoft has already admitted
that it can't compete with Google online by trying to acquire Yahoo and
it chose a very bad moment in Yahoo's history to force the acquisition.

* According to Microsoft, Google gets 75% of worldwide revenues in
search ads and has 65% search market share in the US and 85% in Europe.


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