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Microsoft's Mehdi on financial impact of Yahoo deal

Although Microsoft and Yahoo have only just inked their final search deal and still need regulatory approval, Microsoft's Yusuf Mehdi talked on Tuesday about the economics that the deal will bring.

Speaking at a Credit Suisse technology investor conference in Arizona, Mehdi said that both Microsoft and Yahoo should see a double-digit increase in revenue per search, once the two companies have a single paid search system.

Putting their two separate paid search systems together will take longer than just setting up Yahoo to use Bing's algorithmic search.

"That is going to take some time," Mehdi … Read more

Google, Bing continue gains at Yahoo's expense

Yahoo continues to lose share in the search market, as Google and Microsoft pick up the difference.

Comscore's measurement of the U.S. search market in October shows that Google--as usual--still dominates the search landscape. It now watches 65.4 percent of all searches pass through its servers, up 0.5 market share points from September of this year.

Yahoo, on the other hand, is going in the other direction as new friend Microsoft reaps the benefits. Yahoo lost 0.8 market share points in October compared to September, now down to 18 percent of the market. … Read more

Yahoo, Microsoft need more time to ink pact

Why would anything between Microsoft and Yahoo go quickly?

After months of awkward teenage romance, the two companies finally announced that they had reached a deal in July.

However, the two sides are apparently still working out the terms of what they agreed to in the "binding letter agreement" reached in July. In a regulatory filing on Wednesday, Yahoo said it and Microsoft need more time to iron out a definitive accord.

"The Letter Agreement specified that the parties would execute definitive agreements by October 27, 2009, but given the complex nature of the transaction, there remain … Read more

Sergey Brin: Yahoo shouldn't abandon search

SAN FRANCISCO--He wasn't on the program, but nobody was disappointed that Google co-founder Sergey Brin showed up at the Web 2.0 Summit on Thursday afternoon and agreed to sit down for an onstage chat with conference organizer John Battelle.

Battelle said Brin had been extended an invitation to speak but turned it down, to which Brin joked, "I didn't say no, I just never responded."

But it was an appropriate time to hear from one of the minds behind Google because one of the most evident trends at the conference is that the search market … Read more

Ad agencies stump for Microsoft-Yahoo search deal

An advertising industry association--backed by four of the world's largest ad agencies--sent a letter to the Department of Justice Monday endorsing the Microsoft-Yahoo search deal, saying it "enhances competition."

American Association of Advertising Agencies President and CEO Nancy Hill posted the open letter Monday, which was also signed by Maurice Levy, chairman and CEO of Publicis Groupe; Martin Sorrell, CEO of WPP; Michael I. Roth, chairman and CEO of Interpublic Group of Companies; and John Wren, president and CEO of Omnicom Group. "We believe that Yahoo and Microsoft's proposal to combine their technologies and search … Read more

Business as usual in search market share

New month, same story: the Internet search market doesn't move very much.

Comscore released the latest data on search engine market share Wednesday, and stop me if you've heard this one before: Google has a commanding lead. It gained 0.3 percent to up its share of search queries to 64.9 percent in September, as compared with August. As usual, Yahoo and Microsoft trailed in the second and third positions.

Such has been the order in the U.S. search market since at least 2004, according to an old post on John Batelle's blog. The percentages … Read more

Open source is a platform, not a product

The platform wars are over, and open source has won. It's not that open source has displaced Windows or the iPhone or anything else, but that every platform will necessarily include open source. It's simply too expensive and too difficult to go it alone anymore, whether you're an aspiring start-up or Microsoft.

IDC captures this thought in a recent Asia Pacific survey, which highlights open-source software as a foundation for flexible platforms, rather than as point solutions:

Vendors position [open source] as a solution, rather than a point product, by customizing to the needs of specific verticals....… Read more

Justice Department further probing Bing-Yahoo deal

The U.S. Department of Justice has furthered its investigation into the proposed search engine deal between Microsoft and Yahoo by asking both companies to provide more information.

The two companies received an additional request for information earlier this week as expected, Microsoft spokesman Jack Evans told CNET News. He said he couldn't reveal the specifics of the request, citing it as a confidential inquiry from the Justice Department. But he said Microsoft is in the process of providing the requested information.

Yahoo spokesman Adam Grossberg also confirmed to CNET News the Justice Department's request. He couldn't … Read more

Search satisfaction high as Google rules the group

Americans are apparently quite happy with their Internet search options.

That's the conclusion reached by a survey of U.S. consumers conducted earlier this year by the American Customer Satisfaction Index and scheduled to be released Tuesday. The Internet portals and search engines category--made up of Google, Yahoo, and Microsoft--scored an 83 on the index, far ahead of the score of 75 amassed by the PC industry.

Google leads the industry in both market share and customer satisfaction, posting a score of 86. That's one of the highest satisfaction scores recorded by any one company, said Larry Freed, … Read more

Yahoo Mail still king as Gmail lurks

Google's Gmail is the fastest-growing e-mail service on the planet, but it has a way to go to catch Yahoo's still-growing market share.

ComScore's latest figures for the e-mail market show Yahoo added almost 20 million users last year, growing its share of the market by 22 percent from 87.2 million users to 106.2 million users in June. Only Gmail grew faster--a 46-percent clip--but just 36.9 million people are currently using Gmail. Microsoft's Hotmail is the second-most widely used e-mail with 47.1 million users, up 3 percent from last year.

Some outlets, … Read more