Archive for May, 2011

Microsoft Buys Skype – Is it a good business decision?

Microsoft has bought Skype for a huge amount of $8.5 billion, in an all-cash deal. The deal is unprecedented for Microsoft. It underlines Microsot’s commitment to dominate internet space in next few years.

Microsoft plans to integrate Skype into a variety of products, including Lync, a business communications product, Xbox Live, Kinect, Outlook and Hotmail.

The biggest beneficiary can be Windows Phone 7, which needs to compete against  Google Voice and Apple Facetime.

Microsoft has vowed to keep Skype available on non-Microsoft platforms, which include  Google’s Android and Apple’s iPhone that compete directly with the new Windows Phone 7.

Microsoft has placed heavy bets on this. Only time will tell how it will make use of this splurge.

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Apple Dethrones Google As The Most Valuable Global Brand

Apple has dethroned Google from the #1 position as the worlds’ most powerful brand thanks to a stupendous 84% surge. Meanwhile, Google’s value was more or less stagnant. It saw -2% in its rating.

According to Millward Brown Optimor’s top 100 BrandZ annual rankings, Apple’s brand value for the year 2011 is a whopping $153 billion while Google came at second spot after 4 years with $ 111 billion.

Apple’s ratings have increased due to continued popularity of its iPhone and iPad.

As for Microsoft, a fellow competitor, came at #5 position. It registered a minuscule but nevertheless  heartening +2% increase. If Bing continues to increase its share in search market and Windows phone is successful, we can hope to see some major shuffle next year.

Facebook,  made an entry in to top 100  at #35.  It’s brand is  valued at $19.1 billion. Chinese search engine Baidu also made a strong statement with an increase of 141% and valued at $22.6 billion.

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Bing widens its alliance in its war against Google

Steve Ballmer knows that to beat Google, he has to make alliances. Steve announced partnership with Blackberry which will make Bing the default search on all Blackberry devices. 

Bing’s Blog has this post on the announcement

Central to this collaboration, , Blackberry devices will use Bing as the preferred search provider in the browser, and Bing will be the default search and map application for new devices presented to mobile operators, both in the United States and internationally.  Also, effective today Bing will be the preferred search and maps applications with regular, featured placement and promotion in the BlackBerry App World carousel.

Given the popularity of Blackberry devices, Bing can be assured of even more users in coming months.  Just some time back, MS also announced a partnership with Nokia in which Bing will available on all Nokia smartphones and tablets. This will be in addition to Windows Phones that will be developed by Nokia.

Both these developments will only mean more adoption of Bing search engine which has already won plaudits from experts and public alike.

Microsoft’s search engine Bing is an underdog and is fighting a tough battle against Google. Microsoft which in past had been at the receiving end of negative publicity has changed it tacks. But it seems that MS is bent on making new friends one at a time to shore up its users.

A smart move considering Google search engine is making enemies as if there is no tomorrow. Google search results are indundated with spam results and despite its overarching powers has failed to punish guilty sites.

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