The Search War – Google, Yahoo, and Microsoft

November 6, 2008

As students of competition and entrepreneurship, Onsite Computer Services in New Orleans has great interest in business strategies of the leaders of most industries, and the stratagem of Microsoft in the browser war with Google and Yahoo is no exception.

As we discussed in the past, Microsoft’s competitive strategy was to prevent the proposed merger between Google and Yahoo. The most cost-effective manner to derail a merger between top firms in any industry is to involve the Department of Justice with claims of potential monopolistic or anti-competitive business practices.

Yesterday, in the face of an extended and expensive DOJ investigation into the Google – Yahoo deal, Google surrendered and ended its efforts to partner with Yahoo. Microsoft apparently succeeded in using the DOJ to derail the Google – Yahoo deal.

Apparently investors believe the breakup of Google – Yahoo is a good thing – Yahoo‘s stock has risen 10% over the last two days. Some believe Yahoo management may reconsider a deal with Microsoft; albeit Microsoft refuses comment on the issue. I will be interesting to see if Microsoft and Yahoo can negotiate a strategic alliance.

One thing is certain; any proposed Microsoft/Yahoo deal will undergo DOJ scrutiny. Some may say the DOJ scrutiny will be initiated by Google. The new administration brings change to Washington and new personnel at the DOJ. Some contend if Microsoft were to act now, than it could result in complicating the anti competitive scrutiny, and raising the associated expenses, of any proposed Microsoft – Yahoo merger.

Whatever happens, hopefully the outcome is for the benefit of consumers. What do you think?

If you’re searching for New Orleans computer service or repair of your Microsoft based system or network, then call the Microsoft specialists at 504-469-6991. Onsite Computer Services, Inc. in New Orleans

You may also be interested in Onsite Computer’s Blog.

This New Orleans On-Site Computer Service post was provided by Eli Lucas. Eli can be reached at eli@onsitenola.com. Onsite Computer serves the Microsoft computing needs of small businesses throughout the Greater New Orleans area including Uptown, Lakeview, Broadmoor, Mid-City, Metairie, Jefferson, Kenner, Westbank, French Quarter, and the Warehouse District. Please visit our website for New Orleans Computer Service.

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