Media and Money

Posts Tagged ‘Google

Microsoft Corp. has finally roped Yahoo Inc. into an Internet search partnership, capping a convoluted pursuit that dragged on for years and setting the stage for them to make a joint assault against the dominance of Google Inc.

The 10-year deal gives Microsoft access to the Internet’s second-largest search engine audience, beefing up the software maker’s arsenal as it tries to better confront Google, which is by far the leader in online search and advertising.

While this may be good news for some, Yahoo’s stock still fell 11 percent, the biggest drop since November, after terms of an Internet-search accord with Microsoft Corp. were less favorable than analysts predicted.

Yahoo shareholders may be upset that the company isn’t receiving an upfront payment from Microsoft, which some analysts had expected to be as much as $3 billion, said Benchmark Co.’s Clayton Moran. Yahoo’s projected cost savings and the portion of revenue it keeps from sales of Web ads both fell short of some predictions, he said.
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By Richard Waters in San Francisco and Matthew Garrahan in Los Angeles for Financial Times

YouTube is finally on track to turn its first profit for parent Google, thanks mostly to two forms of online advertising that the popular online video site once largely scorned, according to executives at the internet search group.

The turnround in YouTube’s fortunes has become apparent in recent weeks, in spite of continued weakness in the broader online advertising market that depressed Google’s latest quarterly earnings, they added.

“We’ve been doing the business reviews and something fundamental has changed,” said Eric Schmidt, Google chief executive, in an interview with the Financial Times. “That is new, even compared to three months ago.”

Putting YouTube in the black would be an important turning point for Google. The $1.65bn it paid for the company two years ago was seen as a risky bet, particularly given accusations from media companies that YouTube turned a blind eye when their content appeared on the site.
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increase in earningsEconomic experts say the recession is over. I sure hope so, but I rather be patient before I start popping bottles. Regardless, here is a bit of good news to send you into the weekend. Take a look at which companies posted an increase in earnings for quarter two:
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Rupert Murdoch, News Corp CEO walks outside the during the Sun Valley media conference in Idaho July 9, 2009.

Rupert Murdoch, News Corp CEO walks outside the during the Sun Valley media conference in Idaho July 9, 2009.

I am starting to wonder what will come from this year’s Allen and Co.’s annual media summit. What progress-if any- has been made that will create opportunities for media professionals across this country? The following statements from the top media CEOs strengthens my call to action that if the top media executives can’t figure how their companies will emerge from this recession, it is time for the next generation of media professionals and companies to step up to the challenge.

Here are some of the responses from the top industry execs on the Sun Valley media summit:
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According to reports from the Allen & Co. media summit in Sun Valley Idaho, companies and investors are scrambling to stake out territory in the new world of mobile content.

Media conglomerates, hardware makers and telecommunications carriers are all eyeing the nascent wireless media market, spurred by smartphones like Apple Inc’s iPhone and Research In Motion Co Ltd’s BlackBerry.

Highflying start-ups with strong mobile credentials, such as microblogging site Twitter, have increasingly become the subject of acquisition rumors even as their unproven business models mean a deal is unlikely at this week’s Sun Valley media and technology conference organized by Allen & Co.
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Bing is now the thirteenth most visited site on the Web, according to one measurement, says Business

It has a long way to go before it beats Google and has yet to overtake Yahoo, but since its release had more visitors than Digg, Twitter or CNN, according to Compete. I have to admit, I love the commercials.

The guys at Mashable did some quick number crunching:

According to, Bing was able to amass 49.57 million unique visitors in its first month as Microsoft’s official search engine. Bing’s traffic trumps that of Digg (38.96 million) Twitter (23 million), and CNN (28.54 million). We want to stress that this focuses on U.S. visitors, since Compete does not track international visits.

Note that Bing already had a huge fire hose of visitors via, and that Compete’s unique visitors are hardly the best way to measure Bing’s effectiveness — other metrics like comScore’s search reports will be more telling.

Moreover, while Microsoft can easily juice Bing’s traffic via its advertising spree, it’ll be much more interesting to see how Bing is doing later this year.

The New York Times reports that in a direct challenge to Microsoft, Google announced that it is developing an operating system for PCs that is tied to its Chrome Web browser.

The software, called the Google Chrome Operating System, is initially intended for use in the tiny, low-cost portable computers known as netbooks, which have been selling quickly even as demand for other PCs has plummeted. Google said it believed the software would also be able to power full-size PCs.

The move is likely to sharpen the already intense competition between Google and Microsoft, whose Windows operating system controls the basic functions of the vast majority of personal computers.
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