Google and Yandex: Who Will Win?

April 29, 2013

Business Week tackled the subject of why Google is not the number one search system in Russia. Good topic, but I wonder if part of the answer rests with why Googlers’ efforts to ride a Russian space ship crashed and burned. Perhaps there is more to the Russian market that clicks from those friendly Muscovites and happy folks in Yakutsk?

The write up “Why Google Isn’t Winning in Russia” asserts:

With all of its success on the Web and the rise of Android to the top of the smartphone world, it’s easy to forget that the company faces huge cultural hurdles – and entrenched competitors – in making its search engine truly a world-beater.

So culture? I thought Google had one or two folks familiar with Russia working in the firm’s offices in the US and Europe.

The point of the write up was to underscore the success of Yandex. Business Week says:

Yandex, which is Russia’s most-used search engine, has an analyst score of 4.6, with a 5 indicating a buy and 1 a sell, while Google scores a 4.3, according to data compiled by Bloomberg. Yandex’s dominance of the Russian search market – with 62 percent market share compared to Google’s 26 percent – gives it an overwhelming advantage in attracting advertisers and generating profits.

My thought is that Yandex may have some advantages which Google lacks. I could be wrong, but success in some countries may have some connection with politics. Just a thought.

Stephen E Arnold, April 29, 2013

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