If Barry Diller is looking for somewhere to unload IAC’s Ask.com search engine, he’d be wise to consider Microsoft–if he doesn’t have that in mind already. Analysts reflecting on Diller’s recent remarks about Ask’s “speculative future” say Microsoft is the most likely buyer if IAC is truly serious about dumping the little search engine that couldn’t.
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Well, there it is. Barry Diller would rather sell off IAC’s Ask.com search engine than brave a fiercely competitive market with a property whose future he describes as “speculative.”
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Barry Diller’s IAC/InterActiveCorp racked up its second profitable quarter in a row Tuesday despite a decline in advertising. The company–which runs Ask.com and the Citysearch online city guide, among other things–posted earnings of $21.3 million, or 16 cents a share, compared with a year-earlier loss of $15.2 million, or 11 cents a share.
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With a 4.8 percent share of the search market, according to comScore, Ask has long been the inveterate fourth-place contestant in a sector overwhelmingly dominated by Google. And try as it might–with both redesigns and ad campaigns–the company just can’t seem to build any audience beyond that. So there’s little reason to believe that Ask’s latest redesign–its third in as many years and the 11th since it first launched–won’t be as ineffective as those that have gone before it.
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