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Ballmer On Microsoft's Search Goofs

An anonymous reader writes "AP reports on CEO Steve Ballmer's regret over Microsoft's failure to get into the search market early on. Best quote? 'I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad.' Nice to see they're still user-oriented."

63 of 487 comments (clear)

  1. Humility? by BWJones · · Score: 4, Insightful

    "I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad," he said.

    So, does not the recent 600 some odd millions dollar fine by the EU suggest anything to these guys? The USDOJ let them off the hook, but the rest of the world is proving not to be as forgiving. Perhaps they should be a little more humble?...........Nah.

    --
    Visit Jonesblog and say hello.
    1. Re:Humility? by spellraiser · · Score: 4, Insightful

      Speaking of humility:

      But Microsoft is now turning its considerable might toward catching up. It's a move that puts Microsoft head to head with Google, the world's most popular Web surfing vehicle, and Yahoo, the Internet's most popular destination ...

      Interesting choice of words... probably has nothing to do with where this story is posted, huh?

      --
      I hear there's rumors on the Slashdots
    2. Re:Humility? by Blitter · · Score: 4, Insightful
      So, does not the recent 600 some odd millions dollar fine by the EU suggest anything to these guys?

      $600 million is about 1% of their cash reserve, from what I understand. So, no, it wouldn't suggest anything to me at all if I was them. Just part of the cost of doing business, trivially affordable.

      --
      I am Jack's writable stack pointer.
    3. Re:Humility? by Drakon · · Score: 3, Interesting

      According to Alexa, Yahoo is and has been the number 1 site based on traffic, basically forever.

  2. Sounds great by sik0fewl · · Score: 5, Funny

    I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad

    Sounds like my kind of search engine!

    --
    I remember when legal used to mean lawful, now it means some kind of loophole. - Leo Kessler
  3. from by AnonymousCowheart · · Score: 5, Funny

    from ballmer on microsoft's goofs, to balmer acting like a goof

  4. Hah! by Jonny+Ringo · · Score: 3, Funny

    I can counter that by saying, "I will make sure I never have an online experience again!"

    Suckers.

    1. Re:Hah! by halivar · · Score: 5, Insightful

      No need. Just use Mozilla and say, "I will make sure I never see a Microsoft ad again!"

      Or _any_ ad for that matter.

  5. They will fail. by James+A.+M.+Joyce · · Score: 5, Insightful

    'I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad.'

    And that is exactly why MSN Search will never be bigger than Google.

    BTW, timothy, just so you know - when inserting a clarifying phrase into a quote, one encloses it in square brackets and not normal brackets.

    1. Re:They will fail. by Anonymous Coward · · Score: 5, Insightful

      Yes, but... Heaven help my soul, but Google is the _first_ time I've ever seen advertising that is actually useful and relevant to me, and it is clearly marked as advertising. Google is advertising done right, at least at the moment.

    2. Re:They will fail. by jp10558 · · Score: 3, Interesting

      Well, the main problem is that Google has to make money to pay for all their services. They don't owe anyone anything for free, and ads are how many websites charge for their content. The nice thing about Google is that their ads aren't really distracting in anyway - not blocking up the page or flashing like on Yahoo or ZDnet or MSN.

      I would however like an option to pay google some nominal amount to be spared ads(like I can Wunderground - $5 a year). Now I have no idea how much it costs Google to run searches, or how much they make from showing their targeted ads when you search, but if they would let you get say a yearly subscription without ads for a small amount, $5-$15, I would pay it. Or they could try something like Slashdot's system, but I find that system too messy for my tastes so I don't suscribe.

      --
      Opera, Proxomitron-Grypen,GPG 0x0A1C6EE3
    3. Re:They will fail. by Anonymous Coward · · Score: 5, Funny

      "The newest search results are coming soon! Get a subscription to Google and see them before everyone else!"

    4. Re:They will fail. by spood · · Score: 3, Informative

      'I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad.'

      Actually, though Timothy did not correct the submission of the anonymous reader, the quote appears exactly that way at the end of the article, including parentheses and the ellipsis. I want to know what was elided in that sentence. What if the original quote had been:

      'I want to make sure (a user) can't get through a search engine and still not find what he is looking for. You have services like Google which provide AdWords on every search, but not necessarily guaranteeing the content users are looking for. I think users would enjoy using a search function as a part of an online experience without hitting a Microsoft ad.'

      But here I am questioning journalistic integrity on slashdot. I must be new here.

      --
      ---- Just another spud server.
    5. Re:They will fail. by Nutcase · · Score: 4, Interesting

      Google runs on thousands of stripped down custom designed boxes running a custom linux os.

      If microsoft bought them, they would have to essentially rebuild them from scratch, as the hardware couldnt run windows effectively, and the odds are good that windows couldnt handle the stress the way googles does. i.e. just die and hand it off, and sit there rotting.

      In theory microsoft could leave it alone, but that doesnt work. Remember when they tried to convert hotmail to windows servers from bsd, and kepts screwing it up? I think they eventually managed that, but it was a mess. Now imagine converting google... it would be a clusterf**k.

      Plus at that point it would just be cheaper to build their own.

    6. Re:They will fail. by cnkeller · · Score: 4, Informative
      What's to keep Microsoft from just buying google?

      They already went down that path. The result (or lack thereof) was what prompted MS to dump all the money into their own search technology in the first place. Much like Ford did to Ferrari in the 60's, MS is hoping to out spend Google (which they'll probably succeed in doing).

      --

      there are no stupid questions, but there are a lot of inquisitive idiots

  6. Yowza! by numbski · · Score: 4, Informative

    'I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad.'

    I figured that the submitter hacked part of that quote out of the middle, only to find out the original article had it posted that way too!

    And the pictures! I usually don't think of Steve Ballmer as evil (just the company he works for), but those pictures make him almost look menacing and demonic.

    "Mwa ha ha ha...all your base are belong to us! Now give me your money, and here's your yearly upgrade of office. When's your first born due?"

    --

    Karma: Chameleon (mostly due to the fact that you come and go).

  7. Dealing with the Devil by erick99 · · Score: 4, Insightful
    Microsoft probably can come up with the worlds greatest search engine. Then, they will do what they always do after they decimate and then dominate a market - ignore it. Whatever the state-of-art is for search engines will be frozen in time once it belongs to Microsoft. You can pay them now or pay them later....

    Happy Trails!

    Erick

    --
    http://www.busyweather.com/
    1. Re:Dealing with the Devil by metlin · · Score: 4, Insightful

      I can see where you are coming from, but the thing is that the Search Engine market is not like other markets.

      MS slacked off when it comes to browsers, and Mozilla is surely catching up.

      Search is a technology that has universal benefits - and it is a technology where there can be only one, not more. Therefore, *if* Microsoft came to the top and slacked off, they will not stay there for long.

      Google is not like other search engines from earlier times - they are good at searching, and thats their primary focus - they are not trying to go the portal way that spelt the deathknell for several engines of the days bygone.

      So, even if MSFT did come to the top, searching is an area where they will have to stay on top - or pay the price for it.

      To be honest - as much as I like Google, may the best engine win :-)

  8. In other news... by Bishop,+Martin · · Score: 3, Funny

    Billy Mac, of Mac trucks, had this to say:

    "I want to make sure (Steve Ballmer) can't get through ... a busy highway without getting hit by a Mac truck."

    --
    Setec Astronomy
  9. Good Job, Steve! by teamhasnoi · · Score: 4, Funny

    I can pretty much guarantee that I'll see one on Slashdot every other story.

  10. Not exclusively MS... by kiwioddBall · · Score: 3, Informative

    I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad.

    Well, don't think this behaviour is exclusive to Microsoft. Every CEO and Marketing exec is saying exactly the same thing, and have been for years. Everyone wants their ad where the user is.

  11. 4 MS Stories on the Front Page by moehoward · · Score: 3, Insightful

    Can someone say "unhealthy obsession"?

    Fanaticism? Jealousy? Envy? Mod me to -1 and take my pain away.

    --
    "If you want to improve, be content to be thought foolish and stupid." - Epictetus
  12. Completely offtopic but... by geekster · · Score: 4, Funny

    don't you think Ballmer kinda looks like an evil Dr. Phil?

  13. Microsoft and innovation/market awareness by Space+cowboy · · Score: 4, Insightful

    Apart from the wheely mouse (which I think HP invented), I can't think of *any* technologies that Microsoft got into early on. They missed TCP/IP, networking in general, the net (and the browser), etc.

    Of their successes, with the honorable exception of their OS (copied from DR and then Apple) and their office suites (which they copied from, was it Lotus?), it's all been dubious business practices... Very successful company though they are, they are in no way innovative. Innovative isn't necessary for a monopolist position, and in fact is a bad business strategy - you might waste loads of cash, and you've got nothing to lose by preserving the status quo...

    So it's just pure 100% Balmer, again...

    Simon

    --
    Physicists get Hadrons!
    1. Re:Microsoft and innovation/market awareness by gclef · · Score: 4, Insightful

      Honestly, leading in innovation is not the way to win in business. You want to be *second* to market (maybe even third or fourth) with any new idea, but not first. Why? Because anyone who actually *leads* will always make mistakes, since they're trying something no one has done before. Someone following behind can take the idea, fix a few things people complain about, and make it their own. It's cheaper to develop, cheaper to market, and cheaper to train, since the users already know what you're trying to make, and will be happy to see you making something "better" than your competitors.

      I hate to sound cynical, but in any market where someone follows this strategy, the real innovators will either patent everything, or get screwed.

    2. Re:Microsoft and innovation/market awareness by Coward,+Anonymous · · Score: 3, Funny

      I can't think of *any* technologies that Microsoft got into early on.

      I believe that they are the leading innovators in the field of talking paperclip technology.

    3. Re:Microsoft and innovation/market awareness by leomekenkamp · · Score: 3, Informative

      (...) their OS (copied from DR and then Apple) (...)

      Little correction: MS-DOS, to which you are referring I assume, was not copied from Digital Research; it was bought from a guy named Tim Paterson. It used to be called QDOS (Quick and Dirty Operating System) before MS bought it; they changed a few things, renamed it and 'sold it' to IBM.

      --
      Wenn ist das Nunstueck git und Slotermeyer? Ja! Beiherhund das Oder die Flipperwaldt gersput.
    4. Re:Microsoft and innovation/market awareness by seanadams.com · · Score: 3, Insightful

      You mean they always make mistakes like these?

      What in god's name are you talking about?

      The iTunes music store? Many have tried and failed at selling music online before apple made it work.

      iPodmini? For the love of god--- that's only the 5000th portalbe mp3 player to hit the market.

      Expose - well, yes, that's an actual innovation AFAIK. So I'm confused - are you trying to make the parent's point for him, or do you honestly think that iTMS or iPodmini were original ideas?

  14. Uh oh... by fussili · · Score: 5, Funny

    'I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad.'

    That's gotta be a mood killer for people surfing pr0n.

  15. If you click Microsoft's ads by cyber_rigger · · Score: 3, Funny

    If you click Microsoft's ads does Microsoft have to pay more?

  16. Well, then... by Muddie · · Score: 5, Funny

    This will solve more problems than one. Really. If Microsoft makes everyone's online experience the digital equivalent of being pestered by sales calls 24 times a day, on the hour, every hour, then maybe people like myself will turn off the computer, get up, go outside, and get some more exercise, loose weight, defeat the obesity scare, live longer and have a social life! ...or, realistically, develop better ad-blocking software.

    Who am I kidding.

    Though it would be funny to see what ads would pop up when searching for "Windows XP 2004 Server Keygen"

  17. Forgot to add.. by sik0fewl · · Score: 5, Insightful

    It's no wonder they're behind in the search engine wars. Nobody wants to be intruded with ads they don't care about. I shouldn't get an ad for the newest version of Office when I'm looking up one of my favorite bands. And if I do get that ad I don't want it to be bigger and placed in front of my search results.

    --
    I remember when legal used to mean lawful, now it means some kind of loophole. - Leo Kessler
  18. Thor, Odin, Marketing by tbjw · · Score: 3, Informative

    This is just in keeping with the idea that it's more profitable to advertise heavily than to improve your product or make it cheaper. For most durables we buy, the actual production costs are very low in comparison with the retail price; the surplus is eaten up by the cost of selling the product to us.

  19. The new MS search engine by Billly+Gates · · Score: 5, Funny

    Search: Linux

    results 4

    1.)http://support.microsoft.com/default.aspx?sci d= kb;en-us;314458

    "How to remove Linux and install WindowsXP

    2.)http://www.microsoft.com/windows2000/migrate/ un ix/tco.asp

    "Linux more expensive to operate then Windows"

    3.)http://www.sco.com/scosource/linuxlicense.htm l

    "Linux contains SCO Unix intellectual property

    4.)http://www.linuxsucks.com"

    "Boy those guys at Microsoft sure know how to make great products ........"

  20. Rectal Exam by Ron+Harwood · · Score: 5, Funny

    I want to make sure Steve Balmer can't get through a doctor's visit/border crossing/stop light without getting a full rectal exam.

    1. Re:Rectal Exam by Alien+Being · · Score: 5, Funny

      In his case, that would head-to-toe.

  21. Sad thing is... by aduzik · · Score: 5, Insightful
    Just like with the browser war, the sad thing is that most users won't know how to change the default search page, or even that they can/should do it.

    IE became the most popular browser primarily because you couldn't avoid it on any installation of Windows. Netscape, by contrast, you had to download, install, and -- in theory -- pay for.

    Many Windows users will think it's too much to type in google.com and hit enter before they do a search, so Microsoft will once again use its monopoly to ruin a great product. Just like IE. Just like Windows Media. Just like Office. Just like Windows itself.

    Remember, Microsoft's OS monopoly is so undermining precisely because Windows is the only thing most of the great unwashed computer users will ever see, and Microsoft controls what they see on that Windows computer. Well let's enjoy Google while it's still in business :-(

    --
    If it's not one thing it's your mother.
    1. Re:Sad thing is... by Anonymous Coward · · Score: 3, Interesting

      OK, so Q: (not to you, to everyone). Why oh why oh why oh why doesn't Google have a "Get Firefox" link? Think about it: Google most popular search engine. Google links to Firebird, which has built-in Google search. Loads of Googlers download Firefox, love it, and stay with Google while Microsoft pushes the next IE with microsearch.com in it.

      I really don't understand why they're not doing this. They'd get to keep millions of users.

  22. Article text in case of Slashdotting by Anonymous Coward · · Score: 5, Funny

    REDMOND, Wash. - When Microsoft Corp. entered the Internet browser war in the 1990s, Netscape Navigator was the early leader and Microsoft's Internet Explorer the late-blooming upstart.

    Now, Microsoft is gearing up for a similar brutal and pointless battle in search technology.

    Chief executive Steve Ballmer conceded Thursday that one big misstep by Microsoft over the past few years is that the company did not put resources toward the 'embrace and extend' - Microsoft's term for wholesale copying and stealing - of search technology.

    "That's probably the thing I feel worst about over the last few years -- not destroying a small competitor in a wave of litigation and threats," Ballmer said at a conference for online advertisers held at Microsoft's Redmond campus, as sunlight bounced off his fat bald head.

    Instead, he said, the company had kind of assumed that it would be fun to wait for a while to see what ideas others came up with, before stealing them. Joking that the pervasive software giant is often stereotyped as "a bunch of blood-sucking vampires" he said: "This is a case where we didn't destroy it all -- and I wish we had."

    But Microsoft is now turning its considerable might toward catching up. It's a move that puts Microsoft head to head with Google, the world's most popular Web surfing vehicle, and Yahoo, the Internet's most popular destination, in what many see as the next depressing confirmation that there is nothing that can be achieved that Microsoft won't wreck with some awful code, a stack of ripped-off eyecandy and several billion dollars worth of marketing.

    "I think you'll see some blood on the wheel in this area," Ballmer said.

    Ballmer mentioned the European Union (news - web sites)'s ruling against Microsoft only in passing, when asked about rumors the company may be making some big acquisitions. He said he hadn't heard that; he'd been too busy paying attention to rumors coming out of Europe, as he made bunny ears with his fingers.

    The European Commission (news - web sites) slapped Microsoft with a $613 million fine Wednesday for abusively wielding its near monopoly in desktop operating systems and ordered sanctions that go well beyond the company's antitrust settlement with the United States. The company has vowed to raise an army of the undead, to destroy the continent in a reign of fire, to sow its fields with salt and leave no stone atop another, pending an appeal by its lawyers.

  23. Re: No silly he is just using his Ipod by Billly+Gates · · Score: 4, Funny
    Balmer as we all know loves his. He loves Apple.

    Hell, even Bill Gates likes Apple.

  24. Re:MSN Newsbot by Mateito · · Score: 5, Funny

    > Note that both news services are currently in
    > beta.

    The difference being:

    Google will take the beta label off their service when Google News is stable and usable.

    Microsoft will take the beta label off their service when Google News is stable and usable.

  25. If I'm not mistaken by enkafan · · Score: 4, Informative

    If I'm not mistaken, Steve was referring to an entirely different subject when talking about the ads. He was talking about companies using their advertising budgets wisely, not the fact that he wishes he had google so he could blast Microsoft ads everywhere as the majority of the posters seem to believe.

  26. Mission Accomplished... by griffitts · · Score: 3, Funny

    ...if he considers bluescreens and error messages as ads.

  27. Yeah no kidding by Moonpie+Madness · · Score: 5, Interesting

    thanks a lot bill for making the free market look so bad. Sheesh. To think of all the cool shit Bill Gates could do with 50 billion dollars. He could make robot servants or racing spaceships he could waste it all on scientific cool progress stuff. he could have changed the world and earned immortality. think about it, what would you do if you had that kind of potential? Would you proceed to make a grey and white arial fonted boring ass self advertising agency that tweaked powerpoint every couple years? hell no, hell no. I hope somebody in here is the next big programming marketing mogul, wouldnt surprise me. When you get done with that innovation and you are super rich... Do some some cool stuff with the money. I mean, by all means keep 10 mill in your sock drawer, but use the billions on robots. Space robots. Bill Gates could fund his own Nasa, and I wonder if he could have made a little money too

    1. Re:Yeah no kidding by Anonymous Coward · · Score: 3, Insightful

      While MS may be sitting on its cash reserve, Bill Gates is indeed doing a lot to better this world with his wealth. Please take a second look at his charitable works, especially his 3rd world health initiatives and his minority scholarship awards.

    2. Re:Yeah no kidding by darkain · · Score: 3, Insightful

      the problem with this is the fact all those billions are in stocks. if he where to pull out even say 10% of his stocks, everyone would get scared, and pull out too, vastly dropping the costs of his stocks. and as for investing in new technologies with that money... take a look at the house he lives in now. take a look at all the various technologies that he had specifically invested into just so his house would be the way it is today. gates doesnt stay in the spotlight like everyone from hollywood, but sure enough, he is a person, and he does actually DO things. there is a constant stream of investments that he makes... but never anything such as fundaning an entire agancey the size of NASA.

    3. Re:Yeah no kidding by Elwood+P+Dowd · · Score: 3, Insightful

      Hey, jackass.

      Bill Gates is trying to do much better things than that with his 50 billion dollars.

      Off the top of my head, he's trying to cure AIDS.

      While I may hate some of his professional choices, if his charitable endeavors go even somewhat according to plan, I forgive him all his transgressions.

      --

      There are no trails. There are no trees out here.
  28. World's most integrated by cgenman · · Score: 5, Interesting

    They'll probably release a MSN toolbar that is a feature-for-feature copy of the Googlebar, and automatically install it on the next Windows Update. Maybe on "accident" is uninstalls the original Google toolbar (Cough*netscape*Cough). Make all URL line searches and mistypes go to MSN, and remove the ability to choose your default search engine.

    They don't have to make the "world's greatest," they just have to make something that is competitively passable, and is deeply hooked into their existing product line. The "Internet Search" in the file search bar is already inexorably linked to MSN...

    1. Re:World's most integrated by 33degrees · · Score: 5, Informative

      Actually, they just did release a toolbar and, unsurprisingly, it's an exact copy of google's, linked to MSN. I'm not going to bother installing to see if it uninstall's google's though...

  29. Re:Look at their history by Renegade+Lisp · · Score: 5, Informative
    Internet Explorer is the best and most compatible web browser.

    I don't want to be feeding the troll, but seriously, you don't believe this, do you? IE has a history of breaking every conceivable W3C standard as Microsoft sees fit, and it's only because of Microsoft's monopoly that they can get away with it.

    Have you ever tried to make any web page look the same in IE and any other browser? Surely, the very idea of being "the most compatible" is somewhat moot if there's no point of reference. Who (or what) do you think IE is compatible with?

    And concerning which browser is "the best", there's always the classic list of 101 things that the Mozilla browser can do that IE cannot.

  30. Remember when? by strictnein · · Score: 4, Interesting

    Remember when Microsoft first scoffed at the internet as a whole, and then finally got in the act with their cute little "Internet Explorer" browser? Remember how we all laughed at them, and pointed at how much better Netscape was? I mean, Netscape Navigator 3.01 vs. IE 2.0 and 3.0. Think about it... then IE did infact become the better browser. Now we finally have the new Mozilla and Firefox and while they are again superior products (I can't stand not having tabs) the game is over.

    Are we now doing the same thing with search engines? It's like MS is late to the party again and we're too busy laughing at the car they came in to notice that they are eating all of our food.

  31. Actual context of the quote by ethnocidal · · Score: 5, Informative
    'At the conference, Microsoft also unveiled a study on the effectiveness of online advertising. The company is using the study as the basis for an argument that companies spending about 1 percent of their advertising budget online should consider increasing that to 4 percent or 5 percent because people are spending more time online.

    Ballmer said Microsoft spends about 12 percent of its media budget on online advertising, and that he orders his staff to "saturate" that market first and foremost.

    "I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad," he said.'

    Which is somewhat different from that implied by the submitter; rather than Microsoft wanting to dominate search space, and slapping their ads on everything, it's actually a suggestion that online advertising can be effective, and that companies should spend more of their marketing budget online.

    Given the dearth of funding models for many websites, I'm amazed that people are willing to twist an attempt to get more money into advertising online as something more evil.

  32. Totally out of context by UnrefinedLayman · · Score: 5, Insightful

    The quote in the blurb is taken totally out of context. It's presented as a way to convince the reader that Microsoft intends to do the following:

    1.) Create a search engine that will be popular enough to rival Google.
    2.) Create a method of forcing users to view unending advertisements each time they search, click, blink, etc.
    3.) Profit unendingly.

    What Ballmer was referring to was the amount of money Microsoft spends on advertising. He was using hyperbole to explain that many companies only spend 1% of their budget on advertising, and they should bring that up to 4-5%. He then said that when he gives money to his advertising people, he wants them to spend a metric shitload of it on online advertising, thus when people browse the web, even if they're not visiting Microsoft sites, they see Microsoft advertising.

    He's not talking about abusing their own search engine to display ads but rather about spending their own money on advertising in the hopes it will net them more money.

    That's not to say that I don't believe Microsoft deliberately manipulates their current search results and will continue to do so in the future in whatever incarnation their search engine may take, and it's not to say that I don't think Microsoft is a horrible company that breaks the law as much and as far as they can and that they need to be broken up in order to stop them from abusing the market any further, and finally it's not to say that they're not contributing to the downfall of capitalism and democracy and society as it is known for much of the Western world, but Jesus, if you're going to play ball, play fair. Only companies like Microsoft play unfair, and that's fucking wrong , and you can't say out one side of your mouth "Microsoft isn't playing fair!" and say out the other "Steve Ballmer rapes horses, with the dead bodies of children!"

    Don't try to subvert truth like some neocon on a power trip.

  33. Who modded that parody as "informative" ? by shamino0 · · Score: 3, Informative
    Please read a comment before moderating it. A subject line that says "Article Text" doesn't necessarily mean that it actually is the article's text. This particular example is really a work of fiction loosely modeled on the article. Rank it as "funny" if you think it's deserves a positive rating, but it's definitely not "informative".

    Here's the actual article's text:

    Microsoft Concedes Misstep in Search

    By ALLISON LINN, AP Business Writer

    REDMOND, Wash. - When Microsoft Corp. entered the Internet browser war in the 1990s, Netscape Navigator was the early leader and Microsoft's Internet Explorer the late-blooming upstart.

    Now, Microsoft is gearing up for a similar battle in search technology.

    Chief executive Steve Ballmer conceded Thursday that one big misstep by Microsoft over the past few years is that the company did not put resources toward in-house research and development of search technology.

    "That's probably the thing I feel worst about over the last few years -- not making our own R&D investment," Ballmer said at a conference for online advertisers held at Microsoft's Redmond campus.

    Instead, he said, the company had relied on outside sources for that technology. Joking that the pervasive software giant is often stereotyped as "doing it all," he said: "This is a case where we didn't do it all -- and I wish we had."

    But Microsoft is now turning its considerable might toward catching up. It's a move that puts Microsoft head to head with Google, the world's most popular Web surfing vehicle, and Yahoo, the Internet's most popular destination, in what many see as an important, growing and lucrative market.

    "I think you'll see some good competition in this area," Ballmer said.

    Ballmer mentioned the European Union (news - web sites)'s ruling against Microsoft only in passing, when asked about rumors the company may be making some big acquisitions. He said he hadn't heard that; he'd been too busy paying attention to rumors coming out of Europe.

    The European Commission (news - web sites) slapped Microsoft with a $613 million fine Wednesday for abusively wielding its near monopoly in desktop operating systems and ordered sanctions that go well beyond the company's antitrust settlement with the United States. The company has vowed to appeal.

    About 114.5 million Americans, or 39 percent of the population, now use search engines, according to Nielsen NetRatings. Also, businesses spent an estimated $2 billion last year on search-related advertising and some analysts expect the market to triple during the next three years.

    Microsoft -- which will spend nearly $7 billion this year on overall research and development -- hopes to have some of its own search technology development done in the next 12 months, Ballmer said. It will take longer to develop search technology focused on advertising, he told the advertising executives.

    The software titan also has said that better search technology will be a big part of the next version of its dominant Windows operating system, which may not be released for a couple years or more.

    At the conference, Microsoft also unveiled a study on the effectiveness of online advertising. The company is using the study as the basis for an argument that companies spending about 1 percent of their advertising budget online should consider increasing that to 4 percent or 5 percent because people are spending more time online.

    Ballmer said Microsoft spends about 12 percent of its media budget on online advertising, and that he orders his staff to "saturate" that market first and foremost.

    "I want to make sure (a user) can't get through ... an online experience without hitting a Microsoft ad," he said.

    1. Re:Who modded that parody as "informative" ? by geschild · · Score: 5, Interesting

      Please get off of your high horse? I sometimes moderate something as interesting or another positive mod other than funny intentionally even if the comment is only funny. This is because /. chose to not count funny mods towards Karma but people will lose points for being modded down by the humor impaired.

      In this way we prevent people from burning karma for being funny.

      All you seem to be doing, though, is karma-whoring and not adding anything new to the discussion at hand.

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      Karma? What's that again?
  34. They should fix XP's search function first by adamshelley · · Score: 4, Insightful

    In the 7 billion they plan to spend on search technology, I hope they spend some money on fixing win XP's search within file option. For me, it sporatically works. I often have to use a windows 2000 box over the network to search an XP drive in order to "search within file".

  35. XFree86? by Anonymous+Slacker · · Score: 5, Insightful

    When I saw the title "Microsoft's Search Goofs" I naively thought they might be apologizing for deliberately redirecting any searches for "xfree86" to porn.
    Alas, I was not surprised to learn that they just want to send MORE ads our way.

    MS has a long way to go before they can build a search engine that replaces Google in my regular use, especially if one of the main features of said engine is to send as many Microsoft ads at the consumer as possible. I use Google for its effectiveness and minimalistic site design. No popups, obtrusive banner ads, or flash ads to piss me off.

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    "If you choose not to decide, you still have made a choice!" -Rush
  36. I had a tought by jeffasselin · · Score: 5, Interesting

    Could this actually be a prelude to including some form of adware in Windows? That would certainly fill that goal he has set for Windows users...

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    If he explores all forms and substances Straight homeward to their symbol-essences; He shall not die.
  37. Search Engines by Trillian_Angel · · Score: 5, Insightful

    Honestly, I almost think it is a good thing that Microsoft is joining the search engine fray. I have several reasons for this, but primarily, the first one is that search engine technology has seemed a big stagnant. Take Google, for example. With a great many websites participating in feeding search engines Spider Food, it is more difficult to find results that actually match what you are looking for. If microsoft manages to boost this, and cause a stream of activity in fixing these issues by providing a high powered level of competition, then I think its great.

    Now, this does not mean I am advidly supporting Microsoft. This just means I'm supporting the addition of another wild card to the search engine battles that might have some good come out of it.

    I certainly hope so at anyrate, as using Google gets to be more difficult with each passing day.

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    -- RJ
  38. Microsoft innovations by Sloppy · · Score: 5, Funny
    Apart from the wheely mouse (which I think HP invented), I can't think of *any* technologies that Microsoft got into early on.
    They were a groundbreaking leader in the field of treating web content as locally executable code with full privs and no sandbox: ActiveX controls.

    AFAIK, they were groundbreaking leaders in bringing certain conveniences to email clients, such as double-clicking on an attachment, causing it to execute.

    Prior to Microsoft, nobody had ever thought to do such [euphemisms coming up] .. inspired and visionary things. Indeed, most of their competitors still haven't dared to even try matching these features.

    Another one: They got the brilliant idea of taking an Apple menu, moving it to the bottom the screen so that it's slightly slower to get to, and then moving it up by one or two pixels, so that if you slam your mouse pointer against the edge and then click, you will still manage to miss the menu, so you have to carefully adjust upwards a little, and then click, if you want to hit the hotspot. That tiny little offset of just a few pixels, is an innovation where Microsoft not only led for years, but most of their competition still hasn't matched them.

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    As copyright owner of this comment, I authorize everyone to defeat any technological measure which limits access to it.
  39. That new search engine will run on... by lordkimbot · · Score: 3, Funny

    ...Windows 2003 Server?

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    sig mind freed
  40. Re:5a. by Anonymous Coward · · Score: 3, Insightful

    First of all. It's weird to talk about market share for Mosaic. Secondly, when they decided to stop development of Mosaic, and ended the program, it was the best browser available. That says something. Particularly about netscrape. Once they left acadamia and got all that venture capital behind them they couldn't keep up with the poorly funded academics who picked up where those who formed netscrape left off?! That's pretty bad.

    At least Microsoft had an excuse. They had totally missed the boat, misunderstood the technology, the market and were desprately trying to catch up on all fronts. In spite of that by the time they hit IE 4 they'd won. And not just through better distribution. That's huge.

    Christ, look at what some of the late commers like Opera, and Konq have done! If netscape with their money had that kind of innovation. IE would be a smoking crater of a dead end, and MS would have bought out Netscape for big bucks and then some.