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3 commentsThursday, July 17, 2008

Microsoft + Yahoo = Big Chunk Of Web

Yahoo has 5 top 20 sites

3 Comments

Hypocrites?

Anybody remember a time when the CEO of Microsoft completely ignored the Internet as a potential source of revenue?

Of course, Gates corrected his bad call and made Netscape an offer they couldn't refuse. Still, big business isn't a bad thing because it creates new jobs and there are always innovative entrepreneurs that can open up new possibilities.

I wouldn't mind seeing a Google-fied Yahoo! Push Gmail, anybody?

Yahoo and MSN

As Googled eyed as we all get sometimes, it's important to keep in mind that MSN and Yahoo represent about 30% of the search engine market share. This is definitely too big of a chunk of potential traffic for any savvy online business to ignore.

relevant market

I now your article was specifically centered on antitrust concerns; however, you did rap Microsoft on the knuckles for complaining on capitol hill about the google - yahoo search deal.  I find it funny that a long-time monopolist in the operating system market is complaining about the potential monopoly power in the search market of yahoo-google combination.  When analyzing market power, one has to first determine the relevant market.  I maintain it is not entire web but, rather, the market for web search.  Why?  Myspace or ebay, although having boats full of traffic, have only collateral impact on the search market.  Google has like 70% of the search market.  http://blog.compete.com/2008/02/08/search-market-share-january-yahoo-microsoft-google-ask-aol-msn-live/

Yahoo is under 20% of the search market.  MSN is under 10%.  Combine both Yahoo and MSN and you are still well under 30%!  Remember, the last proposal was for MSN to buy only the search properties of Yahoo.  Search is the reason for MSN trying to buy Yahoo IMHO.

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