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Microsoft exec concedes search market to Google, focuses on apps

Sharon Gaudin | Nov. 6, 2014
Director of search says he's focused on integrating search into Microsoft products, services.

"Google is pretty ingrained for most people on Web search, especially with the combination of Chrome and Android fueling initial queries to Google," he said. "I really don't think Bing has any way to overcome this advantage for standard search."

That means Microsoft is more likely to find success with Bing if it's worked into mobile applications and Microsoft's enterprise-focused software.

Rob Enderle, an analyst with the Enderle Group, noted that Cortana, an intelligent personal assistant on Windows Phone, is a search app.

"If you can add intelligence to the front end and your artificial intelligence is smart, you might be able to render traditional Google search redundant," he added.

Microsoft already is working its search technology into some of its apps and services.

"Microsoft should invest in Bing as a means of differentiating its applications, predominantly Office and the Windows platform," said Shimmin. "They literally are using technology built into Bing. They launched software called Microsoft Azure Machine Learning, and it uses tech from both Bing and Xbox to allow companies to take a data set and make predictions."

If an Office 365 user needs to find something in the application, he could use built-in Bing to do it.

"They should focus on what has always made Microsoft important, and that is they are the interface for business users and many consumers," Shimmin said. "If you open an Office document, shouldn't search play in how you work with that document and shouldn't it be Bing? Microsoft can make their platform and their apps more valuable through the power of search."

Schubmehl said there is a lot of potential for search growth but it won't be in the ways that search companies like Google, Microsoft and Yahoo, have become accustomed.

As people use the Web less on their mobile devices, they'll use mobile apps, such as Yelp, UrbanSpoon and Facebook, more.

"I believe Microsoft is looking to expand the landscape around search applications to include capabilities that work at both a personal and enterprise level, both for the Web and the emerging discovery opportunities around mobile data and applications," said Schubmehl.

Instead of appearing to be the loser in the race with Google, Microsoft needs to reposition the battle and focus on reinforcing the real value of Bing to the company.

"They should rethink the battle they're in because it's not one they can win or should try to win," said Shimmin. "I just don't think they can out Google Google."


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