Is Microsoft Learning How to Monetize the Web?
Microsoft has arguably been one of the least successful at monetizing the web. The computing giant has thus far lagged behind rivals, unable to derive profits from any of its electronic properties. However, in two recent moves, Microsoft could be better positioned than ever to take on the internet.
Deal with Yahoo
Yahoo has largely succeeeded as a information portal first, and a search engine last. Previously, Yahoo in its prime was using search results from Google rather than employing its own algorithm. After a deal with Microsoft, the giant will again begin to use results from a different engine, this time Bing.com, Microsoft’s newly released search engine. The deal offers Microsoft exposure on a website that very much competes with its own MSN for news seekers.
Selling Razorfish
Microsoft has a very long history of throwing money at problems, and trying to best competitiors by sheer volume and by simple corporate nudging. Razorfish is a web development and advertising agency that has served mostly Microsoft (think Coca-Cola and Coca-Cola Bottling), however the deal is sure to better Microsoft’s ads and also give the firm its own standing businesses, while generating cash flow for Microsoft.
Bing is Brandable
With the much awaited release of Microsoft 7 to come out this fall, Bing is in perfect position to be welcomed by all kinds of Windows 7 users. In basic computer terms, the operating system will come installed with Internet Explorer 8, which we can only assume will have Bing set as its default search engine. If users can find what they’re looking for, and do it quickly, Bing could ultimately win many converts from Google, which has relied on little more than its quality results to drive traffic through its engine.
