Yahoo Search Goes Bing, Bing, Bing

July 29, 2009

Short honk: My trusty news reader and Overflight tool are choked with write ups about the Microsoft and Yahoo search deal. The mothership story is the write up “Microsoft, Yahoo Change Search Landscape.” I think that Web search now has room for a strong number three. I don’t think that “search” will change, but advertising is now a a direct face off between Google and Microsoft. My view is that Google will respond with another series of nudges at Microsoft’s enterprise pain points. The guff I heard about Yahoo’s ability to outdo Google in semantic technology is now obviously baloney. My BearStearns’ report on Ramanathan Guha’s programmable search engine has stood in the wind, and the Yahoo chatter has be blown away. Maybe Microsoft can leverage these Yahoo innovation? Yahoo is officially the free America Online clone. America Online is going to have to scramble. None of the write ups I scanned mentioned Yahoo’s email search, Flickr search, and other types of search that Yahoo continues to support. As a result, not all of the Yahoo search costs get resolved in this deal. Yahoo has to demonstrate that it can rationalize its secondary search systems and control those costs. I am not sure that this is going to be an easy task for Yahooligans. in my opinion. Wired’s headline might have more truth than some of the other write ups. The story is “Yahoo Gives Up, turns Search over to Bing.” The “give up” phrase is telling. Lots of excitement, just not exactly the “search landscape”.

Stephen Arnold, July 30, 2009


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