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Google Lowers Prices To Try And Kill Amazon’s Cloud (GOOG, AMZN)

Source: http://www.businessinsider.com/google-lowers-prices-to-compete-with-aws-2012-11

Google Shailesh Rao

Remember Compute Engine, Google’s Amazon-killer cloud that launched in a “limited preview” this June?

So far it hasn’t exactly knocked Amazon from its pedestal.

So Google’s trying an age-old tactic: lowering prices.

At the time it was announced, Google said it would be faster and cheaper than Amazon’s cloud, offering “50% more power per dollar” – which translated to being 37% cheaper.

But that apparently wasn’t cheap enough, because Google just dropped prices another 5%, Shailesh Rao, director of new products and solutions in the Google Enterprise unit, told InformationWeek

It also added a bunch of new configuration options to make it more in line with all the things Amazon offers.

Rao says that Compute Engine wants to bring more startups onto its cloud. Startups are what propelled Amazon’s cloud services to become the most popular. One reason why startups are wary is because Compute Engine is still in “limited preview.” That’s a fancy way of saying that its still in beta mode.

Google hasn’t committed to a timeline when it’s cloud will leave beta and become a full-fledged service, Rao says.

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Monday, November 26th, 2012 news No Comments

Google Is Erasing One Of Marissa Mayer’s Last Big Moves (GOOG, YELP)

Source: http://feedproxy.google.com/~r/businessinsider/~3/L1JdZtjvNLo/google-downplaying-zagat-scores-2012-10

Google is downplaying a confusing 30-point scale it’s given local businesses in search results.

It inherited the system from Zagat, the local guide business it bought last year to bolster its search results.

The Zagat acquisition was one of the last deals Marissa Mayer pushed through as head of Google’s local business before she left to run Yahoo.

Search Engine Land’s Matt McGee argues that adopting the Zagat system was a mistake, since Google’s own reviews and sites like Yelp have trained most Internet users to expect a system built around points or stars—usually on a scale of one to five.

Now Google is asking consumers to rate businesses as “Poor-Fair,” “Good,” “Very Good,” or “Excellent.” It’s still converting those ratings into a Zagat-style score, but it’s displaying the descriptive terms rather than the score on individual reviews.

The Zagat system is distinctive, but it’s really only useful to people who were familiar with it from Zagat’s printed guides.

Take it away, and one wonders why Google did the Zagat deal in the first place.

Here’s the new review interface, via Search Engine Land:

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Thursday, October 11th, 2012 news No Comments

Facebook Is Going To Build Its Own Search Engine! (FB, GOOG)

Source: http://www.businessinsider.com/facebook-search-engine-2012-9

Facebook sponsored results search

Mark Zuckerberg was refreshingly candid speaking today at TechCrunch Disrupt.

One part of his talk that’s going to draw a lot of scrutiny was when he was talking about the company’s search efforts.

Zuckerberg said that Facebook has one billion queries on a daily basis and it’s basically doing that without trying.

He then hinted that Facebook is going to start trying.

He said that search is increasingly headed towards answering people’s questions. Facebook, which has a trove of data on users, is “uniquely positioned” to deliver answers for users.

Facebook has a team of engineers working on improving the search engine.

He said, “At some point, we’ll do it.”

Google’s highly lucrative business is built on search. If Facebook could capture even a fraction of the revenue Google captures it would be a huge boon for the company’s top and bottom lines.

Don’t Miss: DEAR FACEBOOK: Jump Into Search And Triple Your Stock Price

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Tuesday, September 11th, 2012 news No Comments

The Surprising Amount Of Money Google Pays Apple To Be Its Default Search Engine (GOOG, AAPL)

Source: http://www.businessinsider.com/chart-of-the-day-google-and-apple-search-deal-2012-3

Apple is getting $1 billion annually from Google just for making Google the default search engine in iOS and on the desktop for Safari, says Macquarie analyst Ben Schachter.

Schacter believes Google generates $1.3 billion in revenue from toolbar searches on Apple gadgets. Of that, he thinks Google forks over 75% of the revenue to Apple.

It’s a pretty good deal for Apple, and a reason to believe Apple won’t drop Google search any time soon.

chart of the day apple google

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Sunday, March 11th, 2012 news No Comments

The Surprising Amount Of Money Google Pays Apple To Be Its Default Search Engine (GOOG, AAPL)

Source: http://www.businessinsider.com/chart-of-the-day-google-and-apple-search-deal-2012-3

Apple is getting $1 billion annually from Google just for making Google the default search engine in iOS and on the desktop for Safari, says Macquarie analyst Ben Schachter.

Schacter believes Google generates $1.3 billion in revenue from toolbar searches on Apple gadgets. Of that, he thinks Google forks over 75% of the revenue to Apple.

It’s a pretty good deal for Apple, and a reason to believe Apple won’t drop Google search any time soon.

chart of the day apple google

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Sunday, March 11th, 2012 news No Comments

Google pads IP portfolio, purchases Cuil’s pending search-related patent applications

Source: http://www.engadget.com/2012/02/21/google-buys-cuils-search-related-patent-applications/

Google pads IP portfolio, purchases Cuil's pending search-related patent applications

Google’s been buying a fair amount of IP over the past several months from IBM, and now the Big G has acquired seven new patent applications from the now-defunct search engine, Cuil. Back in 2008, Cuil aimed to take Google’s crown as the king of search, but was shut down 2010 because it often failed to provide relevant results (despite its massive site index). Good thing the patent apps Google’s gotten are for different methods of displaying search results, as opposed to, you know, finding them. The full list of assignments can be found at the source below, so head on down to get your fill of patent claims and black and white drawings.

Google pads IP portfolio, purchases Cuil’s pending search-related patent applications originally appeared on Engadget on Tue, 21 Feb 2012 02:44:00 EDT. Please see our terms for use of feeds.

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Tuesday, February 21st, 2012 news No Comments

Google+ Is Growing Much Faster Than Facebook Did In The Early Days (GOOG)

Source: http://www.businessinsider.com/chart-of-the-day-google-is-growing-much-faster-than-facebook-did-in-the-early-days-2012-2


Don’t write off Google+ just yet — compared to Facebook’s early days, its growth is meteoric.

It took Facebook nearly a year to reach a million users and more than four years to reach 100 million. It took Google+ about two weeks to reach 10 million, and less than a year to reach 100 million. Paul Allen, the “unofficial” statistician for Google+ and founder of Ancestry.com, says Google+ could reach 400 million users by the end of the year.

Obviously Google+ has a huge advantages over Facebook from 2004. Facebook was closed to everyone but students back then. Google+ is getting a push from the world’s largest search engine. The Internet is more widely adopted now.

But still. 

chart of the day facebook google+

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Wednesday, February 1st, 2012 news No Comments

VB+P Graphs

Source: http://www.mediabistro.com/agencyspy/vbp-graphs-super-bowl-and-the-digital-water-cooler_b28619

Super Bowl: The only day in America where TV viewers actually want to watch commercials. This year’s NFL championship, pitting the New York Giants against the New England Patriots, is in a sense a “rematch” of the 2008 edition of the big game. Due to this unfortunate match-up (blame Billy Cundiff and Kyle Williams for their failures), it’s possible that TV ratings could actually be lower than last year’s game. This would clearly be a total bummer for advertisers who spent $3.5 million for a 30-second spot. But, on the bright side, maybe people will be talking more about the ads than the actual game at the water cooler the next day, right?

Of course, the veritable “water cooler” has evolved in the digital age. The folks at Venables Bell & Partners have decided to provide a handy infographic that maps the who, where and how of post-game advertising conversation. Out of the bevy of stats they’ve given us, a few stand out. For example, “Almost one in five (19%) Americans searched for ads before the game in 2011, about double (11%) who did in 2010. Of that group, 48% searched for ads on Facebook, putting the site just ahead of popular video sharing site YouTube, brand sites, and media sources as the lead destination to find ads.” In other words, Facebook is becoming a more popular video search engine than YouTube, a fact than is no doubt pissing off the powers that be at Google.

Also, “Americans are almost as likely to ‘like’ a brand on Facebook that advertises during the Super Bowl (20%) as they are to ‘like’ a team (29%), with 23% of young adults likely to ‘like’ a brand.” Not a bad way to measure social media ROI compared to TV ROI, is it? Well, at least it’s somewhat “believable.” Check out a full-size image after the jump.

continued…

New Career Opportunities Daily: The best jobs in media.

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Friday, January 27th, 2012 news No Comments

Microsoft’s Share Of The Search Market Is Finally Bigger Than Yahoo’s (MSFT, GOOG, YHOO)

Source: http://www.businessinsider.com/chart-of-the-day-search-market-2012-1

Microsoft has poured billions of dollars into its search engine, and this is what it has to show for it.

It is now the second largest search engine in the U.S., just edging past Yahoo for the first time in December, according to the latest comScore data. That’s nice and all, but Microsoft is in a partnership with Yahoo, so it probably doesn’t want to be taking share from Yahoo.

It really wants to be taking share from Google. That’s not happening. The good news from Microsoft’s perspective is that Google’s search share has been stuck around 65% for years now.

chart of the day, sai, share of core searches us, jan 11 2012

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Thursday, January 12th, 2012 news No Comments

Why Google Is The Grinch Who Stole Your Business

Source: http://www.businessinsider.com/the-grinch-who-stole-your-business-2011-12


Google Sign

It’s that time of year when we all reflect on the past, search our souls and determine what we want for the next year. I’ve been reflecting on what it means to work with a company that controls so much of the market, provides such a broad set of capabilities and delivers such a large percentage of monthly revenues to publishers. Of course, I’m thinking of Google and what their dominance in the ad market means for a publisher’s future and its ability to remain relevant to marketers.

What do we know about Google? They are this great company that gives consumers some of the best digital products available on the Web: search, email, maps, Android, apps and more. This has catapulted Google to the rank of second most valuable brand, behind only Apple, according to Millward Brown. This seems to be great for consumers, but what about the businesses who are now reliant on Google for search and display revenue, advertising technology and various business applications like Google docs, Android OS, Chrome, etc.?

Many of the businesses I meet with hold Google in high regard because of the products they represent and the amount of revenue they provide. However, these businesses are equally concerned about Google’s consumer stranglehold, their influence over the ad ecosystem and their focus on automation, all of which lessens the publishers’ worth in the value chain as a whole. Google’s market dominance stretches well beyond search, which in itself is obviously enormous. This expansive dominance should be alarming for every marketing-related business, including publishers, advertisers and agency and marketing services technologies.  Here are a few stats on Google by category that will likely frighten even the largest of these businesses:

  • 65.38% Share of Search, Oct-11 Hitwise
  • 44.1% Share of Ad revenue, Oct-11 PCMag
  • 43.8% Share for Video, Oct-11 Comsccore
  • 30.03% Share for Travel, Oct-11 Comscore
  • 22.38% Share for Automotive, Oct-11 Comscore
  • 18.69% Share for Shopping, Oct-11 Comscore
  • 16.29% Share for Health, Oct-11 Comscore

If these stats weren’t enough to dampen your holiday spirit, Google now is even prioritizing their own products above the paid search listings on their search engine. This creates a major conflict for the advertisers that have made Google what it is today and may force those clients to pay even more if their advertising is to remain competitive in this new bidding landscape. Google clearly is leveraging its position of power with consumers to launch new products and ensure their own success. The latest example of this is the promotion of their Chrome browser on the Google homepage. As you can see from the chart below, Chrome is rocketing to the position of #1 browser, a rank it is projected to achieve by June 2012.

Google is now a major threat to every business in the publishing and advertising marketplace. In the short term, while they may appear to be a superior partner that provides revenue and marketing innovation, I believe that over the long term they are eroding the value of each and every business in the media sales and publishing value chain. And, worst of all, they are charging heavily for the privilege. I’d estimate that for every dollar spent by an advertiser in the media buying process, Google captures upwards of 25% in tolls (via their various ad services, DFA, Invite, DFP, AdX, Motif, Admeld, etc.), thereby minimizing revenue and profits for publishers and other vendors along the way

So as you reflect on 2011 and consider whom you want to partner with in 2012, give some thought to the short versus the long term. What is your value proposition to clients? And who do you ultimately want to run your business … the Grinch or You?

Have a great holiday and Happy New Year!

The views expressed here reflect the views of the author alone, and do not necessarily reflect the views of 24/7 Real Media, its affiliates, subsidiaries or its parent company, WPP plc

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Tuesday, December 27th, 2011 news No Comments

Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.

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