Amazon has its own search engine (A9) and up until the end of April 2006 this was powered by Google – but no more. Google’s contract expired on April 30, 2006 and Amazon wasted no time in announcing that Microsoft Windows Live technology would be the new choice, leaving Google out in the cold.
Not only is A9 the technology used for searching Amazon’s own site, it is also a standalone search engine site (www.a9.com), and this gives Microsoft a new route to market, which is essential given the ongoing legal actions in North America and Europe that are attempting to deconstruct the Windows platform.
Google fuelled that ongoing argument recently with its submission to the European courts regarding Microsoft’s new browser, IE7, and its tie-in to Microsoft’s search engine. It would appear that Google now has something more pressing to worry about – maintaining market share in what is now becoming one of the most ferocious markets in IT.
In truth, Google’s positioning in this respect was always a double-edged sword, as the obvious response would be to question Google’s relationship with just about every other browser supplier, which has the same degree of tie-in to Google as Microsoft search has with IE (a case of do as I say and not as I do).
Until the end of the Amazon contract, Google’s dominance seemed untouchable, and it was the darling of both IT and investors alike. Microsoft has put a serious dent into that apparent invincibility and this has to be considered a major coup. It will also be a strong marketing tool for the new Windows platform.
Increasingly it looks as though Google wants to take on Microsoft in other areas apart from search. Its online calendar is now in beta and the functionality has had some positive feedback. Taking on Microsoft is not always the smartest thing to do and it would appear that Microsoft is not prepared to lie down and let the newcomer move into its traditional market without a fight. Come later on in the year we could see the ‘search wars’ being extended to ‘calendar wars’.
We are all aware of the incestuous nature of the IT industry (partners and opponents can be one and the same). What Google might have overlooked is the protectionism that also exists, and if someone is seen as getting too big for their boots they become a threat that cannot be ignored. It is therefore not unreasonable to hazard the guess that this announcement will not be the last, and that Google might need to pay more attention to its core business, and restrict its involvement in other areas.
Source: OpinionWire by Butler Group (www.butlergroup.com)
