Microsoft, Yahoo and Google

The MS- Yahoo! deal finally came off! That makes Microsoft Bing the no 2 search engine. Apparently it has something like 15% of the market. between Yahoo! and Bing this share is expectyed to go up to 30% or better and start challenging Google who's sitting on more than 65% share.

With this one move Microsoft moves to number 2 position. Yahoo! gives up search business and saves on the R&D expenses. Yahoo woyuld server up ads on the Bing search results and have a sharing arrangement with MS. Look like it is quite win-win for both of them.

Is Google worried! Te gap is so large, if they maintain theinnovation periodically, they should be oki. But, for consumers it is good to have a number 2 challenging number one. The number one is likely to get complacent over time.