Software giant Microsoft intends to acquire Yahoo, in what is referred to as an unsolicited bid of $44.6 billion.
But to give you a background, the search engine wars have been raging for some years now and search engines are indeed big business, given the millions and millions of people who use a search engine everyday to find information online. But the true winner in the search engine industry has obviously been Google despite being around only in recent years. Yahoo has been the old giant that has been around much longer, but Yahoo has lost the race to Google, and Microsoft who is in itself big in software is looking at going head to head with Google and apparently they see the acquisition of Yahoo as the way in that direction.
For online marketers, this is good news as it would be good to have a reliable search engine advertising alternative to Google AdWords.
Google Adwords is an advertising platform that enables businesses of all sizes to purchase highly targeted ads that appear across a wide network of participating websites and on the search engine itself, and Google provides its advertisers with vast amounts of data on how those ads are performing. While Yahoo and Microsoft have similar advertising platforms, they have struggled in this regard and Google is still widely regarded as the technology and market leader in search engine advertising.
So it would really be good to see Microsoft and Yahoo give Google a good run, but will they really kick Google butt by setting up shop together? Le’s go to the numbers.
For search engine searches, Google enjoys a 58 percent market share for searches, while Yahoo has 23 percent market share and Microsoft, a small 10 percent market share. As far as search is concerned, neither Yahoo nor Microsoft come close to competing with Google. However what may be interesting to watch would be banner and text advertising on website publishers that belong to a merged Yahoo-Microsoft advertising network.
As internet marketer Perry Marshall mentioned, “expecting Microsoft and Yahoo to be better than Google by getting together is like pairing up two people each with an IQ of 75 and putting them in a spelling bee and hoping that together they’re a 150 genius.”