Just now I read that Microsoft and Yahoo! have finally joined forces and are going to gang up on Google.  We all remembe when we last left our friend, there was a failed merger attempt. Their goal then is the same as it is now, to compete with Google. Currently our friends at Google have roughly 65% of the market share when it comes to search engines. Microsoft has a reported 8.4% while Yahoo! has 20%.

This deal will give Yahoo! access to the Bing engines while Microsoft can utilize Yahoo’s larger market share to improve their searching. Yahoo! will also be able to expand their online advertising efforts to various Microsoft sites. This will of course result in revenue splitting.

Now what will all of this mean in the end? Well Bing market’s itself as being the world’s first “decision engine”. With this new technology combined with the name and efforts of Yahoo!, they may very well be able to compete against Google. I do not believe that it’ll be possible to “dethrone” Google, however this merger of technologies and markets may result in 1) people having two viable choices and 2) give a drive for innovation. The only reason innovation exists is for because people want better. If there is not a driving force (i.e., someone trying to take your market share), then people do not innovate, the keep with the status quo.

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