Microsoft chief executive Steve Ballmer has insisted that one day, the company’s Google-battling Bing search engine will actually make money. “Search is going to be an ever-growing share of Microsoft’s profits,” the big man bellowed – literally bellowed – during a wide-ranging question and answer keynote this morning at the search-obsessed SMX West conference in Silicon Valley, “First, we’ve got to get to break even. And then we’re got to get to profitability. And then we’ve got to grow share. That’s how I do my math.”
First, we’ve got to get to break even. And then we’re got to get to profitability. And then we’ve got to grow share.
Well, no. They’ve got to grow their share first, if they have any hope of breaking even on their investment, never mind profit.
Right now, they’re nobody – I mean, I don’t have statistics, but I don’t know a single person who uses Bing. Not one. Zero. Of all my friends and co-workers, Google has 100% share in search. And outside of the tech-savvy workplace, I’d guess most of them haven’t even heard of Bing, much less use it.
If Microsoft pulled the plug on Bing tomorrow, would anyone notice? I doubt it…
When I look at some referer statistics, Google is more like 90% of the searchengine pie. But still that’s a Very big part of the pie.
A quick poll around the office suggests it’s worse than I thought – roughly half of the people I asked didn’t know what Bing was. And these are engineers in a software development company, not random computer-illiterates.
That only means you are surrounded by a bunch of idiots.
Why do I say that? Simple: ignoring the existence of Microsoft and their big market moves when you’re in the software development industry means you’re not even pulling your heads out of the sand to see the daylight, and instead you’re just pretending that they (Microsoft) doesn’t even exist: such ignorance of reality within your own industry/field is a sure path to obsolescence long-term for your set of skills and negatively affects your long-term employability, as there’s no such thing as a permanent employer, and you simply can’t know that any particular narrow set of skills will get you gainful employment in a reasonable amount of time due to supply/demand, and that’s not even counting the prospect that the demand for a given set of skills doesn’t simply dry up completely: when’s the last time you’ve seen a job description need CP/M experience and knowledge, for example?
There are a lot of things Microsoft does that the average person will have no clue about, and even most software developers may not be aware of, due to their low profile, but Microsoft and the search realm, while it is currently their biggest losing proposition, is NOT one of those in terms of visibility. Evidence is all the people you’ve spoken to are ignorant fools who don’t come up for air to even see what’s going on in the field: even without all the commercials on TV and in movie theaters before the movies (at least in the US: I realize things may not work exactly the same all over) and all the ads Microsoft is likely using online, and the Bing links on the msn/msnbc pages, Bing has been mentioned rather heavily in connection with the Microsoft/Yahoo! search deal that’s been in the works for a very long time (in computer industry terms) and is a major part of the deal, and has been mentioned repeatedly. In a way, I admire all the people you’ve asked: they’re able to ignore things they don’t care about, so you’d think they should be much more productive, as they’re not easily distracted!
So a bunch of software engineers, entrenched in their computing habits, have never heard of bing?
I’ve just asked 10 coworkers at a marketing agency (NOT technical at all) and seven of them have heard of it, four of them use it.
Demographic fail on your part. Bing isn’t after your co-workers.
Not exactly following the developments in their field, are they?
Except…
On IE8, and therefore Windows 7, it is the default search widget, sure you can change it but the majority of the non-tech savvy market just accept the defaults because they still get lost clicking anything other than NEXT, CONTINUE or OK.
It’s like the whole browser ballet thing. I’m not completely up-to-date on how it works ’cause it doesn’t affect me but if the default browser is selected randomly then the user has the option of changing it via a ballot screen it could cause problems. There are many users who don’t even know that they use Internet Explorer to access the internet – they just click that blue E thing – so if Firefox was to be installed because they just accepted defaults they could very well be totally lost when trying to get online because there is no blue E. Sad I know, but thats the way it is…
Which is the only reason I’ve tried it, and you’re right, that probably accounts for most of it’s share.
Nonetheless, that’s only true for those installing W7 themselves – most people would get those upgrades as part of buying a new computer. And those people get their defaults not from MS, but the vendor who installed it – the same people who load new machines down with a billion unwanted search toolbars, gadgets, etc. Might be Bing, but at least as likely to be Google.
Edited 2010-03-03 00:53 UTC
Unless you just bought a laptop where the manufacturer had made a bundle deal that put Generic GimpySearchâ„¢ on their program. (Yes, I’m ranting. I had to move heaven, hell, and some smaller nations in order to get it using a search engine I actually like -_-; )
Well, in typical Microsoft fashion, they did run several bing TV commercials but I doubt anyone actually understood what the heck they were talking about.
In some parts of the world (USA?), maybe. Certainly not in New Zealand…
I don’t mean to be harsh, but very few companies plan a media strategy that involves New Zealand. Its a great wondrous place to live, and I deeply envy you. I guess the price you have to pay for that, is not being targeted by large software companies when launching their new brand of search engine. Well, sucks to be … well, still all of us that aren’t living in New Zealand.
I think you should run for president of USA, you certainly have skill for it. “Guns kill people? I don’t know anyone who was shot, nor does my cousin, so clearly guns don’t kill people”. “All *****s are thiefs, one time ***** stole my wallet, he’s the only ***** I know but they all are thiefs.” God bless ‘merica and Republicans.
PS. Filter seems to take harmful word, word in * is insult of black person.
Edited 2010-03-03 13:01 UTC
Uh Steve…..
The only things that Microsoft has ever made a profit on where:
1. Windows
2. Office
Not able to think much more above that Microsoft has made a profit on.
So its nice to know you can do your math, it’s very simple.
1+1=2
The only thing that Google has ever made money on is Search.
Don’t forget software development tools and server software!
Oh, and, believe it or not, Macintosh software: after Apple, Microsoft is the largest Apple software developer in the world, and besides the potential antitrust business reasons, there’s another good reason for them to do so: it’s profitable! If you know Apple/Microsoft history, they’ve had a long-term relationship with Microsoft providing software for Apple computers from the days of the Apple 2 series on.
Someday I’ll get a pink pony too.
Edited 2010-03-03 03:21 UTC
You run Microsoft, not Google. Start acting like it.