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Speaking at a Goldman Sachs conference in Las Vegas, Schmidt discussed details of a long-rumored deal between the No. 1 search engine and the No. 1 PC maker, which is a strike against Google rival Microsoft. Under the deal, millions of Dell PCs will be loaded with the Google toolbar for Web and PC search, along with a co-branded home page, before they're shipped to consumers.
Financial details were not disclosed, but Schmidt said the companies will share revenue from search-advertising fees.
"The real reason we do this is for users," Schmidt said. People "turn the Dell machine on, and everything is integrated right there. (This deal) is a turnkey solution for search."
A Dell representative said that the deal will not hamper consumer choice on the Dell desktop, however. "Our motivation is to deliver customers tools that enable them to search and organize information quickly and easily, right out of the box...Dell customers will have the option of choosing Microsoft as their default if they prefer."
The deal covers Dell PCs sold to consumers and certain corporations.
As well as the Dell agreement, Schmidt talked about other coming Google services in a question-and-answer session at the conference.
For example, Google plans to introduce a targeted voice advertising service for Internet radio in the coming months, he said. The company is working to convert technologies for creating radio ads to complement its own advertising platform.
Listen up
The Google-Dell alliance
During the Goldman Sachs Seventh Annual Internet Conference on Thursday, Google CEO Eric Schmidt breaks down the deal with Dell.
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"Targeted advertising is known to work...There's every reason to think it will for radio," he said.
Google is eyeing other complementary services for advertising. One such service would allow marketers to buy "run of site" promotional packages for itself or for partners' sites, Schmidt said.
The Web company is testing pay-per-call plans, which let marketers advertise in keyword search results and pay only when people call a 1-800-number for the promoted service. "Eventually, we'll roll it out," he said.
The Google-Dell deal comes on the same day Yahoo and eBay announced a three-year marketing deal that effectively combines their resources against rivals Google and Microsoft. Under terms of that agreement, Yahoo will provide graphical and search-related ads to eBay sites. In turn, eBay's PayPal will be the default online payment service on Yahoo.
In answer to a question about competition, Schmidt said eBay isn't a rival but rather a partner that he sees will grow closer to Google in the coming years. eBay will likely grow stronger because of its partnership with Yahoo, he said.
In contrast, Schmidt said he views Microsoft and Yahoo as clear competitors.
To be sure, Yahoo and Microsoft were reportedly vying for search-bar real estate on Dell PCs before Google sealed the deal. Schmidt said that Dell has been testing its software for the last six months.
Still, at least one analyst was largely unimpressed with the Google-Dell agreement.
Stephen Baker, an analyst at NPD Techworld, said: "It strikes me as a great deal for Dell, as they are basically selling dead space, and a bad deal for Google, as I doubt that they will collect many incremental eyeballs beyond the ones they have now."
See more CNET content tagged:
Eric Schmidt,
pay-per-call advertising,
Dell PC,
Google Inc.,
Internet search advertising




Did I get a pre-release OS image? Was I an unwitting lab rat?!?! ;)
I know I don't have the full Google Desktop environment, but this article suggests that the Dell/Google partnership is all new.
-Mister Winky
It is recommended to run FORMAT C: as first thing after buying dell computer...
---
Pixel image editor - http://www.kanzelsberger.com
How many people or companies actually keep the initial build?
I put my OS CD in as its powering up.
A) Offer an open-source OS or for very cheap, included on shipped systems or available for download on their website.
B) Make the days of running an OS obsolete
C) Pioneer the use of search engines on all mediums of technology, including televisions, automobiles, cellphones, mp3 players, POS systems, and any other device that has the ability to connect to another device or server.
D) Purchase Microsoft, Apple, Verizon, and the U.S. government.
then a few AMD chips
and now Google software.
What's next, Linux?
While I have been a long time Dell user (6 computers), if I don't have the option to PREVENT the Google/malware software on the computer, I will go elsewhere for my Vista computer upgrade. Competition is too keen to put up with this short-sighted play.
I doubt Google cares about the naked pictures of your dog.
http://www.buckleupnow.com
Then I installed a nice plain copy of XP SP2, let it discover all drivers without a glitch, installed IE 7 and collaterals and turned Microsoft Update on. Like with any other PC I will religiously avoid any Google, Yahoo, Apple, etc. invasive add-on, which in many cases are far worse replacements of what already available. I am not sure for ex. what value these OEM tools and crappy custom control panels add. Take the Dell Wireless Mgr for example: the one included in XP is perfectly functioning, and provides a nicer and more consistent UI experience.
And I will live happily for another 21 years without never ever getting a single instance of a virus or malware.
:-)
you also had to install Microsoft's increasingly hopeless malware
and virus defenses, followed by updating it all. In other words,
it took you hours to do what a Mac does in five minutes. No
formatting, a preinstalled top of the market OS, and no need for
malware and virus defenses. It is striking that you can have
such a smug attitude when, in fact, you are making the easy
difficult. Furthermore, within a week or month, something will
probably go wrong and you will have to go through the entire
process again.
Dell's selling point is that it makes inexpensive computers. To
claim more than that is to deceive yourself.
cheapest PC possible. But you buy a Dell and then have to buy a
copy of Windows XP to install on it? I assume you're not pirating
your copy of Windows, so you add an additional $200 to your
purchase.
Windows users amaze me. You could have bought a Mac and
avoided the whole mess of corporate bloatware, virus scanners,
adware detectors and all that other sh*t, but you don't. I guess
the Windows world must be really something special for you
guys to put up with all that ridiculous hassle.
Unless...
Microsoft shouldn't own everything. Geez.
Which one will have the first free O/S? We'll see in '09 for sure! Stay healthy until then my fellow nerds.
The noobs don't give a hoot and techies are going to reinstall the OS no matter what.
Dell wins.
Google wins.
I win with a subsidized computer price.
Now, if Dell would install Firefox and REMOVE IE, as well as most other MS CRAP it would be possibly the best system. I will drink to Google taking down the evil empire.
Now, if Dell would install Firefox and REMOVE IE, as well as most other MS CRAP it would be possibly the best system. I will drink to Google taking down the evil empire.
That's what I think the Google doing now. Terrible....
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by kael10
January 5, 2009 5:25 AM PST
- Mr. Schmidt owes his success largely to a global network of mobster fiends is what I hear from rival mafia. They say it was him that was directly responsible for the colosal profits made from promoting child pornography with the Google search engine.
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