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    Yahoo on Wednesday said it will drop Google during the first quarter of 2004


    From News.com http://news.com.com/2100-1024_3-5141...l?tag=nefd_top
    Yahoo on Wednesday said it will drop search partner Google during the first quarter of 2004 in favor of its own technology, opening a new phase in the battle for Web search dominance.

    The announcement from Yahoo CEO Terry Semel caps more than a year of speculation over the move, which has been widely expected since Yahoo announced plans to acquire search provider Inktomi for $235 million in December 2002. Inktomi has developed so-called algorithmic search technology similar to Google's that indexes Web pages and ranks them based on search terms.

    "We've been hard at work with the assets that we've acquired to develop our (own) algorithmic search engine," Yahoo Chief Financial Officer Susan Decker said in a phone interview. "We'll be swapping that out in Q1."

    Although expected, the announcement highlights the changing market for Web-based search, which has been transformed in the past two years thanks to fast-growing and profitable advertising programs.

    Google currently processes approximately 80 percent of all search requests on the Web through distribution deals with Yahoo, Time Warner's America Online and Ask Jeeves, according to market share data compiled by research firm Comscore Media Metrix. When Yahoo ends its deal with Google, that share is expected to drop to about 54 percent. Yahoo's reach, meanwhile, could jump to 42 percent, based on its own search traffic and a deal that provides Inktomi results to Microsoft's MSN Web portal.

    Analysts said the shift means that, overnight, Web search will change from a near monopoly situation to a two-horse race.

    "Competition-wise, this sets Yahoo up to take Google on," said Search Engine Watch Editor Danny Sullivan. "The minute Yahoo bought Inktomi, the idea they were partners and friends fell by the wayside. But Yahoo has not given consumers a strong reason to think of Yahoo as different from Google. They need Inktomi out there to get their own voice and differentiate themselves."

    The change will likely have only a small impact on Google's and Yahoo's businesses, at least in the short term, Sullivan said. Google earned just $7.1 million in fees from Yahoo in 2001 for providing its algorithmic search results, he said.

    The real money in search comes from advertising revenues. Keyword searches made up 31 percent of the $1.66 billion in U.S. online ad sales for the second quarter of 2003, according to the Interactive Advertising Bureau (IAB), an industry trade group.

    Since November 2001, Yahoo has run advertising search links on its site from Overture Services--which it acquired last year for $1.6 billion--meaning Google won't see any loss in its advertising reach when the deal unravels.

    "This will mean virtually nothing to Google" from a business perspective, Sullivan said. "I don't know how much money they were making, but I'd be surprised if it was in the tens of millions. The real money in search is in ads, but Yahoo never carried Google's ads...What you really want to understand is the reach of their ad networks. That's not changing."

    Sullivan said things will get even more interesting when Microsoft gets its Web search act together, something he said he expects by the end of the year.

    Semel on Wednesday said that Yahoo has expanded its deal to offer Overture's paid search results to MSN's sites throughout Europe and Asia, adding to an existing deal throughout the United States and the United Kingdom.

    But the boost from the MSN deal could be short-lived, Sullivan said.

    "By the end of 2004, MSN will get their act together," he said. "Then the worry for Yahoo is that MSN will prove to be a temporary boost for them."
    We all knew it, but now we have a timeframe. I'm sure the Inktomi message board will start to see some more activity now.
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    Here comes inktomi.
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    Or InktoAltaFast. It will be interesting to see what happens.
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    Yahoo's Time to Shine


    Yahoo will be making a big swing with the accusision of inktomi, but even so the yahoo searh is used 86.8 million unique visits in November to the 53.3 million unique visits at Google.
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    I think that 86.8 million is for Yahoo in general, not just yahoo search... being a portal there's a heck of a lot more to do there (email, news etc.) - you can be pretty sure that the numbers for google is mostly for search (yes they have a few other bits, but nothing like yahoo).

    But yes, Yahoo switching will take anywhere from 20% - 30% of the free-search market share away from google... it won't make too much difference to their bottom lines though as Google Adwords are currently not shown on Yahoo, who already show Overture ads... it will make a difference to ours though if you don't keep up with the times ;)

    The big question for me, is how is Yahoo going to integrate the inktomi results with their directory listings... I'm thinking the $299 listing fee is going to become a lot more important when this switch is done - forget altavista and fast, if they combine the inktomi results with others, it won't be with other free search results, it will be with their directory results or some other pfi feed.
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    "Yahoo will be making a big swing with the accusision of inktomi, but even so the yahoo searh is used 86.8 million unique visits in November to the 53.3 million unique visits at Google."

    To my understanding the 53.3 is from Google.com alone not counting AOL, Netscape and even YAHOO! (many other too). Google gets an estimated 250 mil searches a day. Dominate the PPC market and now Adsense is making a name for itself. Cant see Yahoo having an advantage just yet. Even with Inktomi.

    -PK
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    Originally Posted by pk_synths
    "Yahoo will be making a big swing with the accusision of inktomi, but even so the yahoo searh is used 86.8 million unique visits in November to the 53.3 million unique visits at Google."

    To my understanding the 53.3 is from Google.com alone not counting AOL, Netscape and even YAHOO! (many other too). Google gets an estimated 250 mil searches a day. Dominate the PPC market and now Adsense is making a name for itself. Cant see Yahoo having an advantage just yet. Even with Inktomi.

    -PK
    Lol can't you read? yahoo searh is used 86.8 million unique visits in November not in a day! Google has over 10 mil per day max (all queries to its database!) so this means that google.com (alone) has less than 2 mil per day...

    Lol 250 mil per day ))
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    This forum, its members and guests, would be better served, in my opinion, if differences in opinion and intrepretation could be expressed without the use of ridicule when responding to posts by other members.

    Anyone can be having a bad day and make a slip.
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    Hey Luke thanks but that wasn't a slip.

    Originally Posted by LukasS
    Lol can't you read? yahoo searh is used 86.8 million unique visits in November not in a day! Google has over 10 mil per day max (all queries to its database!) so this means that google.com (alone) has less than 2 mil per day...

    Lol 250 mil per day ))

    LukasS you have to joking if you think Google only gets 10 mil search requests per day. You think Google would be a powerhouse with that!??!?! Dont be absurd. Google racks in about 200 to 250 million search requests per day. WTF would they need 10,000 servers for all over the world? So each can process 200 search results daily??? A 486dx machine can do that.

    If you dont believe me read http://searchenginewatch.com/reports...le.php/2156461 and from Google themselves at http://adwords.google.com/ and I quote "More than 200 million times a day, people use Google and its partner sites to find what they're looking for. "

    200 to 250 million searches a day is common fact. Read up on articles and stats before you slam me next time. Thanks.

    PS Yes I can read.
    Last edited by pk_synths; Feb 8th, 2004 at 01:54 PM.
    -PK
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    Im glad that Yahoo! is going to brake from google, now we can really see who is the #1 SE as googles share decreases.

    Personaly I think google caters too much for the "webmaster" and not enough for the "searcher" I hope yahoo! doesnt become yahoogle.
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    Daniel,
    Personaly I think google caters too much for the "webmaster" and not enough for the "searcher" I hope yahoo! doesnt become yahoogle.
    Thousands of webmasters who had their sites dropped by Google, for certain keywords, will argue this one with you.
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    Originally Posted by Daniel
    Personaly I think google caters too much for the "webmaster" and not enough for the "searcher" I hope yahoo! doesnt become yahoogle.
    As of now it is neither. They are catering to amazon, bizrate, and dmoz.
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    As of now it is neither. They are catering to amazon, bizrate, and dmoz.
    For certain keywords YES but in other categories definitely the searcher.

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