Google's search partnership
with Yahoo is coming up for renewal. Recall that Google
extended its reach significantly and gained credibility
when it was chosen to provide search infrastructure for
Yahoo, replacing Inktomi, which had previously replaced
AltaVista. Yahoo has never used in-house technology to offer
"web index" results, but of course has many navigational
offerings of its own such as the human-edited Yahoo Directory,
Full Coverage news, etc. Some speculate that Google is increasingly
becoming a competitor to the major portals, so Yahoo would
be reluctant to fuel Google's growth any further. But Google's
recent inking of a search and advertising partnership with
AOL seems to indicate that that line of thinking is exaggerated.
Here's my quick and dirty attempt to handicap the "who
will Yahoo choose as its search partner?" race. For
entertainment purposes only. Void where prohibited by law.
Yahoo stays with Google --->
This is the prohibitive odds-on favorite. Yahoo can
develop new, innovative revenue-generating variations in
concert with the industry leader; yes, a renewal fuels a
competitor of sorts, but bottom lines are bottom lines and
staying with Google offers the best short and medium term
outcome for Yahoo, which needs to worry about its stock
price and its consumer image.
Inktomi ---> 4 to 1. No
real reason for Yahoo not to do it other than wanting to
stay with status quo & the leader. Inktomi has
a high quality, customizable search index, experience in
the space, and is hungry for business since the loss of
its partnership with AOL.
FAST Search ---> 8 to
1. A strong contender, but it probably won't happen in part
because the company's roots are in Europe and its North
American operations are in the Boston area, whereas others
are more firmly entrenched in Silicon Valley. Inktomi may
be more motivated to pitch Yahoo, and Inktomi has a more
mature paid-inclusion offering. On July 1, Lycos is launching
what it calls Lycos Search 6.0 (powered by a newly beefed
up FAST Search), so FAST seems to be a continuing presence
in the space with one major global portal partner, Terra
Lycos, clearly happy with its offerings.
AltaVista ----> 12 to
1. Nostalgia buffs would love it. Enterprise division could
be a good hedge; this dark
horse may someday surprise but is a more likely fire-sale
acquisition for a Yahoo than a consumer search partner,
but who knows. Incidentally, AltaVista plans to roll out
a new (and discount-priced) version of its Express Submit
option in July. Details to come.
Teoma / Ask Jeeves ---->
20 to 1. Teoma is coming on strong, but Not Yet Ready for
Prime Time Partnerships. For the foreseeable future, Ask
Jeeves looks to be an attractive acquisition target, so
one way or another they're poised to make some noise for
the remainder of the year.
All Overture, All the Time ---->
350 to 1. After Disney pulled the plug on it, the
going-going-gone Go.com went to 100% sponsored search listings
via a partnership with Overture. Yahoo won't do this for
the simple reason that everyone would laugh at them, point
fingers, and compare them to Go.com. No short-term revenue
goal can be worth being relegated to the Internet Hall of
Shame by an increasingly savvy public.
Metasearch roaring across the finish
line out of nowhwere (eg. Infospace's new Excite Metasearch)
----> 400 to 1.
In-house product developed in secret
underground lab, or by a sneaky old company like IBM ---->
500 to 1.
Microsoft technology ---->
1 billion to 1.
With all those fun things to speculate on, won't it be disappointing
when they just renew with Google? :)
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