From: "Rich Gauszka" 


Google's share of U.S. search market jumped in April

http://news.yahoo.com/s/nm/20070525/wr_nm/google_search_dc_2;_ylt=AvOoesDHKLWYl
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SAN FRANCISCO (Reuters) - Web search leader Google Inc. in April showed a
sharp gain in market share among U.S. Web search users, taking business
from its three closest rivals, research firm comScore Inc. said on Friday.

Shares of Google jumped 1.7 percent, or $8.03, to $482.36 in Nasdaq trading
after the independent online audience measurement firm released data
showing Google held 49.7 percent of the U.S. search market, up 1.4
percentage points over March.

By contrast, the No. 2-ranked Web search provider, Yahoo Inc. saw its U.S.
search share in April fall 0.7 points to 26.8 percent. Microsoft Corp.'s
sites lost 0.6 percentage points to 10.3 percent, comScore data showed.

IAC/InterActiveCorp's Ask.com fell 0.1 percentage points in April to 5.1
percent of the U.S market, it said.

The research firm releases data monthly and is the most widely accepted
measure of the Web search market competition.

Google's 1.4 percentage point gain matched the combined losses of 1.4
percentage points by Yahoo, Microsoft and Ask. Google has gained month by
month over the past two years, taking share from rivals in 21 of the past
24 months.

The 1.4 point gain in Google's April market share was only exceeded by the
1.5 percentage point jump Google enjoyed last November, according to
comScore data.

Time Warner Inc. sites, which include its AOL unit, held steady at 5.0
percent, the monthly survey of search activity showed.

U.S. Web users performed 7.3 billion searches in April, 11 percent more
than a year earlier. Google sites attracted 3.6 billion searches by U.S.
users during April, comScore said.



http://www.businessweek.com/magazine/content/07_14/b4028045.htm



 Microsoft has already squandered much of the time it spent developing the
search business. Until February, 2005, it licensed search technology from
two companies, Overture and Inktomi. Then it launched a homegrown search
engine, saying at the time that it would win over Web searchers with
results that were more relevant than Google's. Last fall, Microsoft Chief
Executive Steven A. Ballmer told BusinessWeek editors and reporters:
"I think in the next three years, people will say, 'Hey, these guys
are really a major player in online consumer and advertising.'"

There are a number of reasons that hasn't happened yet. First, Google has
performed near flawlessly. Early on, Google used its simple Web site to
cement the impression that to search is to "Google." And because
more people search there, Google has more data with which to target
relevant ads. The result: By some estimates, Google nets at least 50%
higher revenue per search than No.2 Yahoo and other search sites--allowing
Google to keep investing more in improvements. For instance, on Mar. 21 it
revealed a new program to give advertisers the opportunity to pay only when
someone responds to an ad--by purchasing a product, filling out a form, or
some other action--rather than merely when they click on it. That may be
more attractive to advertisers who want concrete results.

Meanwhile, Microsoft has managed to confuse searchers. It elbowed into the
search business on the back of its MSN franchise, a modestly successful
online services business known mostly for its dial-up Internet access
operation. Then Microsoft muddled its message in November, 2005, when it
launched the "Live" initiative designed to turbocharge Web
services, including search, with programs running on PCs. But Microsoft
continued to use the MSN prefix on some Web sites, such as its portal and
shopping page, while using Windows Live for its e-mail and search services.
"You've got people who know Microsoft really well who don't know what
Live means," says Danny Sullivan, editor-in-chief of
searchengineland.com, which covers the business.

Outside of the United States, various surveys put Google's share of the Web
search market at 60 percent or better.

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