Thursday, December 10, 2009

Microsoft-Murdoch-Google Analysis

Presenting the "Big Fight" between Microsoft and Google. Rupert Murdoch was in news recently when he decided that the News Corp websites would not allowed to be indexed by Google. Apparently the move was pushed and secretly backed by Microsoft's Steve Ballmer. Lets analyse this step.

  • With this move, News Corp and its websites limit the exposure to internet users, by not being indexed by Google and rather showing up on Bing.

  •  News Corp would earn some quick short term cash from Microsoft as per the deal. This allows the media giant to quickly compensate for lagging internet ads+subscription revenue.

  • On the other hand, Microsoft will improve its PR with media firms. This deal is very much an implicit signal to publishers, media firms etc.
  • According to Google, the news items account for a very small percentage of the total searches all around the world.

  • It is perceived that Google doesn't like copyrights much. This deal may have some impact in Google's ambitions to scan all books and information to be made available to people.

  • All in all, the winner of this deal seems to be Rupert Murdoch.

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