Beware the GOOG!
by John Paczkowski
Posted on December 19, 2008 at 4:02 PM PT
No surprises here. The trend in the November search share rankings is much like the trend in October rankings, which was much like the trend in September rankings–Google (GOOG) claiming still more market share.
According to the latest metrics from comScore (SCOR), Google’s share of the core U.S. search market increased to 63.5 percent in November, from 63.1 percent in October. Meanwhile, Yahoo’s (YHOO) share of the market declined to 20.4 percent from 20.5 percent,
Microsoft’s (MSFT) share slipped to 8.3 percent from 8.5 percent, and IAC’s (IACI) Ask.com share fell…. Well, why even bother with Ask, right?
With Google closing in on 70 percent market share, two things are increasingly clear:
- Search = natural monopoly business
- Google = search’s presiding monopolist
Comments
“Natural monopoly”? With zero switching costs? Hmm, not possible that Google is just doing a better job?
Posted by David desJardins at December 20th, 2008 at 11:47 pmSeems to me that search, if it is a natural monopoly at all, is far less of one than operating systems software is.
Yes, Apple has taken back some market share, but many of those users are also forced to run Windows since Apple has chosen not to go head to head with MS on office products (or much else).
I’m quite happy to see Yahoo, Ask and other similar companies compete with Google.
Firefox allows me to choose my search engine, while under certain circumstances Verizon locks me into a Yahoo relationship.
At some point I’m fearful that Windows will lock its users further into features of Live.com. Already I can’t use some of those features on my Apple or Linux machines. But worse, I’m almost sure that people using the windows/Live lash-up will find it difficult if not impossible to mix and match those two products with search, maps, and so on from other vendors. Microsoft has never worked that way and they show no signs of starting.
If the press doesn’t jump on this now, we are going to live the 90s all over again with MS competitors rendered moribund while the slow wheels of justice start trying to provide a level playing field long after the game is over.
Google may not be an angel in every respect, but they are also not the enemy of innovation to the extent that Microsoft is and don’t see that it is possible for them to become one any time soon.
A Google vended OS, office suite, Chrome and so on could change that, but those components are things Microsoft already has working to its advantage.
Posted by Mac Beach at December 21st, 2008 at 11:25 am