Mobile Talk

Choosing Microsoft over Google is like the antithesis of technology right now, knowing how Google is targeting to be the next Microsoft. Why would they choose Microsoft over Google? In a recent development, Facebook (a very famous social networking site after MySpace) has signed an advertising deal with Microsoft to put Microsoft adCentre link on the top of their website. Imagine the traffic they will generate for the alr rich Microsoft.

This is led by the buyout of MySpace by Google in a $1 billion, 3 year deal for Google to power search across most of Fox sites. The deal will include the integration of a Google search box on all Myspace pages, and Fox also disclosed that they intend to “work with Google” in creating a Myspace toolbar that allows users to extend their MySpace experience beyond the site itself. Google will be obligated to make guaranteed minimum revenue share payments to Fox Interactive Media of at least $900 million based on Fox achieving certain traffic and other commitments. This deal will significantly increase total revenue on Myspace, which is estimated to currently be generating about $350 million annually.

It is interesting to note how this will go down with Yahoo! which has acquired smaller social networking companies (the irony is Yahoo started this trend first) like Flickr and del.icio.us but not able to generate the amount of traffic that MySpace and Facebook can. Who will buy Friendster and LinkedIn next? Yahoo is not giving up without a fight. They are working on a project called Panama where ads placement are now based on price and relevancy of ad. Yahoo is expected to test this in the UK in July.

Comparisons between the different advertising methods of the search engines:

Highest Revenue Earner: Google

Highest Registered User: GoogleMost Effective Advertising Strategy: