UNITED WE SUCCEED DIVIDED WE FAILGoogle is likely to face stiffer competition ahead as Microsoft and Yahoo have struck a deal on Wednesday, the 29th July, 2009. Last year, Microsoft made an abortive attempt to purchase Yahoo out rightly at a cost of 47.5 billion USD. After this failure, the two companies tirelessly worked a fresh to come together to break unchallenged monopoly of Google and this pact is the result of this effort. On Wednesday they announced partnership in internet searching and advertising. Hitherto Google virtually enjoys lion’s share in this field and none of the companies could pose a serious challenge single handedly to this IT giant. This deal is an attempt to pose challenge to Google in this area. At present Microsoft and Yahoo constitute only 28 % share in search engine area and rest 72% goes in Google’s account.
According to this deal, this pact (Microsoft-Yahoo pact) stipulates division of duties instead of merger of these two Companies, which was the main reason of last year’s fiasco. This fiasco led to change in management of Yahoo. The co-founder of Yahoo Company Jerry Yang was replaced by Carol Bartz. Mr. Bartz is now the CEO of Yahoo.
According to information available, Microsoft would provide search technology to Yahoo Websites whereas; Yahoo would now concentrate on producing web media sites ranging from sports and entertainment to finance.
The terms of agreement will be for 10 years and it calls for Microsoft to license some search technologies of Yahoo, in turn Yahoo would be getting a lion share of 88% of revenue generated from search by Yahoo.
The advertising field would be divided and Yahoo will now be the exclusive advertisement force. Microsoft CEO, Steven A. Ballmer said on this occasion that this is a land mark in the history of A&M in IT field and will create new sky soaring heights in field of innovations in search and advertising which is now, he said, is dominated almost monopolistically by one company, he meant by it Google.
This agreement marked the end of one of the longest and most tumultuous technology deal in the field of IT industries of world. This deal is culmination of the process which Ballmer had started as wooing Yahoo in 2006 it self, the time Terry Semel was CEO of Microsoft. It was thus a happy moment for Ballmer because now he is the CEO of Microsoft, what a destiny indeed!
Hopefully this pact would open new vistas in the field of computers which is witnessing new inventions and new experiments in this century. One can hope that coming years will be quite different from what we see and watch today. It is said that change is a painful process, but this change is perhaps not going to be painful but exciting.
1 comment:
mcm handbags, timberland boots, louboutin, hollister, hollister, jimmy choo shoes, lululemon, reebok shoes, giuseppe zanotti, asics running shoes, herve leger, oakley, bottega veneta, mac cosmetics, iphone cases, p90x workout, vans, north face outlet, valentino shoes, chi flat iron, ray ban, soccer jerseys, nike trainers, celine handbags, ghd, nike air max, north face outlet, new balance, converse outlet, gucci, ralph lauren, nike air max, lancel, longchamp, nike roshe, instyler, vans shoes, nfl jerseys, birkin bag, soccer shoes, baseball bats, babyliss, hollister, beats by dre, ferragamo shoes, wedding dresses, abercrombie and fitch, nike huarache, mont blanc, insanity workout
Post a Comment