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Rivalry Building Between Amazon and Google

Amazon and Google, both giants in the online business world, started out as separate entities with two very different agendas. As each has grown into an empire, the overlapping areas of business between the two companies has grown as well. But with both companies moving strongly into the electronic device market, cloud services, and Amazon now building out its advertising network, they find themselves increasingly at odds, and 2013 may bring more direct battles."Amazon wants to be the one place where you buy everything. Google wants to be the one place where you find everything, of which buying things is a subset. So when you marry those facts I think you're going to see a natural collision," said VC partner Chi-hua Chien. Adds Reuters, "Not long after Bezos learned of Google's catalog plans, Amazon began scanning books and providing searchable digital excerpts. Its Kindle e-reader, launched a few years later, owes much of its inspiration to the catalog news, the executive said. Now, Amazon is pushing its online ad efforts, threatening to siphon revenue and users from Google's main search website."

2 of 97 comments (clear)

  1. Cyberpunk by Quakeulf · · Score: 5, Funny

    I hope we will see the rise of cyberpunk with real competing technology businesses with their own secret task-forces and total disregard for human life in order to turn a profit and curb their competition!

  2. Re:"Pack of Four" by Animats · · Score: 5, Informative

    Nobody is interested in Microsoft. The "pack of four" includes *Facebook* over Microsoft.

    Facebook isn't in the same league as the big boys.

    Revenue for most recent quarter:

    • Apple: $36 billion
    • Microsoft: $16 billion
    • Google: $14 billion
    • Amazon: $14 billion
    • Facebook: $1.2 billion

    Facebook makes a lot of noise, but they're smaller than eBay, which had quarterly revenue around $4 billion, and about even with Yahoo.

    Amazon is the company with room to expand. Amazon could potentially take over most of retail. Their real competitor is Wal-Mart.

    The others are near the ceiling of their markets. Google has failed to make money with anything other than search ads. Microsoft probably has a long life ahead of it, like IBM, serving the needs of business. Apple has a price maintenance problem - their huge markups may not survive the flood of lower-priced devices. Facebook is in a bind; their user base has peaked, and shoving more ads at users didn't work out for Myspace.