Last year, the Google company generated revenues of $ 16,594 million thanks to ads and integrated advertising in its own search engine, services such as gmail and the millions of websites that work as affiliates of its Adsense advertising program. With respect to the income of the year 2006, Google increased the income for this concept by 56.5 percent. It is easy to deduce that advertising as these results show is the Spain Mobile Database company’s main source of income. Its strongest competitor, Yahoo! multiplies its resources and efforts to overshadow the search engine giant in order to maintain its position and a share of this market that is currently much lower than that registered by its rival. In this case, advertising revenues only reached 6,969 million.
In recent years, investment on search engine advertising has increased from 47% to 66% during the last three years and where Google and Yahoo! stand out for grabbing 50% of the total of this investment. The battle for dominance of this market is continuous among the main search engines and where new strategic movements are being generated such as the offer that was recently launched by Microsoft for the purchase of Yahoo!for 44.600 million dollars with the aim of using it to obtain a higher position in the market. Although it may seem like a wise step, Microsoft may not have it so easy since Google has already launched a proposal on Yahoo! in order to paralyze this possible purchase.
This proposal is undoubtedly an example of the barriers and limitations that Google finds in this regard since it would not dare to make a counter-offer to buy by Yahoo! because US antitrust laws and authorities would not authorize this sale although the company could help other companies launch a bid for Yahoo! or provide support for the popular search engine to maintain its independence. Google expressed concern about this attempt by Microsoft to want to extend the “monopoly” that it holds in the software market to the internet world and that Brother Cell Phone List could provide it with abusive power. Microsoft’s response was not long in coming underlining that this acquisition would generate a much more competitive market and that it would force more investments and develop new products and tools in favor of customers. Steve Ballmer , CEO of Microsoft, declared in an interview published in the Wall Street Journal the risks and benefits involved in this operation; “In the long term, two, four, five or seven years, there is no reason to be less optimistic about online advertising than before. All traditional advertising will have a presence on the Web in the next 10 years. That means there will be a great growth of online advertising and I think the market deserves, at least in the aspect of the advertising platform, good competition for the current leader (Google). “