Microsoft eclipses Yahoo in US search for 1st time

Jan 11, 2012 By MICHAEL LIEDTKE , AP Technology Writer

Microsoft Corp. has finally reached a long-sought and expensive goal - its Bing search engine now ranks second behind Google in the Internet's most lucrative market.

Bing and Microsoft's other websites fielded 2.75 billion in the U.S. during December, catapulting in front of Yahoo Inc. for the first time in the jockeying for runner up to Inc., according to statistics released Wednesday by Inc.

Bing's December volume translated into a 15.1 percent share of the U.S. , comScore said. Yahoo processed 2.65 billion search requests, representing 14.5 percent of the U.S. market.

Google remained Internet's go-to place for information, with 12 billion U.S. requests in December. That works out to a 65.9 percent market share.

Other research firms track the Internet . But comScore's numbers matter the most to and the companies trying to attract queries so they can make more money from the ads that appear alongside the results. Google's dominance of online search is the main reason it has established itself as the Internet's most profitable company.

Analysts have expected Microsoft and Yahoo to flip-flop their positions in Internet search since they announced a partnership in July 2009. The 10-year agreement has enabled Yahoo to save money by relying on Microsoft to provide the bulk of its .

Microsoft wanted the deal so it would have billions more search requests to analyze each year, giving it a better chance to learn about people's tendencies and preferences.

Pursuing Google has come at a huge cost for Microsoft, which still makes most of its money from the Windows and other software it sells for personal computers. Microsoft's online division, which is anchored by Bing, has suffered operating losses of about $7 billion since June 2008.

Even though it leans heavily on Microsoft's technology, Yahoo hasn't totally abandoned search. It still offers some unique features within its results in hopes of persuading more people to search on its website instead of going directly to Bing. The main reason: Yahoo still gets 88 percent of the ad revenue from searches conducted on its website and receives nothing from queries entered on Bing.

The efforts haven't been enough to prevent a steady slide in searches at Yahoo. The company's share of the U.S. search market stood at about 19 percent when it joined forces with Microsoft, according to comScore. Meanwhile, Microsoft's market share has climbed from roughly 9 percent.

Yahoo's eroding search share is one of the reasons that its revenue has been falling during the past three years, causing a downturn in its stock price, too. The company just hired Scott Thompson to become the fourth CEO in the past five years to attempt a turnaround at Yahoo.

"Scott Thompson has his work cut out for him," Citigroup analyst Mark Mahaney wrote in a research note breaking down comScore's latest search statistics.

Explore further: Fitbit to Schumer: We don't sell personal data

4.5 /5 (2 votes)
add to favorites email to friend print save as pdf

Related Stories

Google and Bing gain as Yahoo! slips in search

Apr 13, 2011

Google and Bing gained ground in the US Internet search market in March at the expense of Ask, AOL, and Yahoo!, according to figures released Wednesday by industry tracker comScore.

Microsoft tops Yahoo! in search in August: Nielsen

Sep 14, 2010

Microsoft's Bing and other Internet search services overtook Yahoo! for the first time to become the number two search engine in the United States in August, The Nielsen Co. said Tuesday.

Microsoft's Bing increases US search share

Sep 22, 2009

Microsoft's new search engine Bing posted a slight increase in its share of the US search market in August, the third month in a row of modest gains, according to online tracking firm comScore.

Recommended for you

Fitbit to Schumer: We don't sell personal data

6 hours ago

The maker of a popular line of wearable fitness-tracking devices says it has never sold personal data to advertisers, contrary to concerns raised by U.S. Sen. Charles Schumer.

Should you be worried about paid editors on Wikipedia?

10 hours ago

Whether you trust it or ignore it, Wikipedia is one of the most popular websites in the world and accessed by millions of people every day. So would you trust it any more (or even less) if you knew people ...

How much do we really know about privacy on Facebook?

11 hours ago

The recent furore about the Facebook Messenger app has unearthed an interesting question: how far are we willing to allow our privacy to be pushed for our social connections? In the case of the Facebook ...

Philippines makes arrests in online extortion ring

11 hours ago

Philippine police have arrested eight suspected members of an online syndicate accused of blackmailing more than 1,000 Hong Kong and Singapore residents after luring them into exposing themselves in front of webcam, an official ...

Google to help boost Greece's tourism industry

Aug 21, 2014

Internet giant Google will offer management courses to 3,000 tourism businesses on the island of Crete as part of an initiative to promote the sector in Greece, industry union Sete said on Thursday.

Music site SoundCloud to start paying artists

Aug 21, 2014

SoundCloud said Thursday that it will start paying artists and record companies whose music is played on the popular streaming site, a move that will bring it in line with competitors such as YouTube and Spotify.

User comments : 1

Adjust slider to filter visible comments by rank

Display comments: newest first

Xbw
1.3 / 5 (13) Jan 11, 2012
I'm sorry but Bing will never pass Google. You never hear anybody say, "hmm I don't know the answer. Let me Bing it and get back to you!"