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Microsoft's Growing Search Loses  (Source: CNN)
Bing may never turn a profit

Microsoft has been trying to compete in the search market with its Bing engine and hasn't been doing well. Google is still the runaway king of search and Microsoft is showing little signs of offering up meaningful competition.

Microsoft is taking a beating with Bing, and CNN reports that the search engine is losing Microsoft almost a 
billion dollars per quarter. Since Bing launched in the summer of 2009, Microsoft has lost $5.5 billion on the service and the losses are flowing faster than ever today.

Not all of the losses can be blamed on Bing though. Apparently, Microsoft has never made money on its search offerings. Since it embarked into search arena, the total mount thrown away amounts to $9 billion.

Bing has 14.7% of the search market and is proud to proclaim it is gaining on Google and has taken share from the search giant. CNN, however, points out that the gain Bing has made in the search market is in fact not coming from Google, but third place Yahoo. Since Bing launched, Google has lost market share slightly from 65% at Bing's debut to 64.8% today.

Half of the gains Bing has made came from Yahoo according to CNN and the rest of the gains came from and AOL.

Microsoft is looking to build its market share with partnerships for search with Facebook and with Nokia. Microsoft and Nokia are tying up for a big push into the smartphone market with Nokia being a premiere Windows Phone 7 partner. 

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Too much money
By Dug on 9/22/2011 7:50:29 PM , Rating: 2
I wonder how much they would loose if they just offered it as a search engine. Drop advertising, paying places to install, etc.

RE: Too much money
By Gondor on 9/23/2011 3:53:40 AM , Rating: 2
Agreed. Google has become so incredibly bloated over what it was only a year or two ago. There's plenty of room for competitors to come up with simple sleek and quick-to-laod design that doesn't add unnecessary "features" that obstruct field of view (where results used to be displayed across entire width of the screen) which cannot even be removed.

There is no need for lame "suggestions" (turning these on should be optional ), fancy graphics (which consume bandwidth and take longer to load on portable devices than the "stock" logo which is cached after first use anyway), etc. Stupid ads take majority of the first result page. Results aren't ordered by usefulness anymore (used to be implemented via number of references to a page and other criteria, now it's just by the amount of money paid to Google).

That, and incessant peddling of crappy data mining services (Blink ? Plus ?) makes it painfully clear that Google has gone down the drain like Altavista did just before the emergence of Google so it is time for somebody else to take the leading role in the world of online search. With billions wasted perhaps that just might be M$, even though they're threading dangerously close to Google's bloaty "design".

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