The Mac Observer

Skip navigational links

DealsOnTheWeb Daily Deal: OneCall's Weekend Sale - 20 Great Items at Great Prices All Weekend Long

Microsoft VP: Company Focusing on Online Services, Advertising

by , 9:55 AM EDT, May 19th, 2008

It's no secret that Microsoft is gunning for more of the Internet search advertising and online services market, and vice president of the Platforms & Services Division, Kevin Johnson, has a plan for keeping the company focused on that goal. In a memo to employees, he outlined Microsoft's plans that include "innovate and disrupt in search," and "reinvent portal and social media experiences," according to AllThingsD.

Mr. Johnson's other goals include "consolidate ad platform and win in display," and "deliver end-to-end user experiences across PC, phone, and Web."

He acknowledged Microsoft's renewed negotiations with Yahoo and added "Regardless of the outcome of any new discussions, it is important that we continue to move forward to strengthen our online services business. The fact is that we are not where we want to be in this business yet and we've been in this position longer than we'd all like."

So far, Microsoft has been trailing far behind Google in the online search advertising market. The Redmond company's failed Yahoo buyout attempt was a move to bolster its own position against Google, and by returning to the negotiating table it hopes to gain some of the tools it needs to go up against the Internet search giant.

The new deal Microsoft is pushing for would have Yahoo selling off parts of the company, although Microsoft has not said which parts it is hoping to score.

Since Mr. Johnson's strategy includes consolidating ad platforms and "reinventing" social media experiences, Microsoft's likely targets include Yahoo's search services and even Facebook -- which could essentially strip the foundation out from under Yahoo.

Yahoo is now in an awkward position since it is facing the possibility of being neutered by Microsoft, or a hostile takeover attempt by billionaire investor Carl Icahn. Mr. Icahn has mounted a proxy battle to take over Yahoo's board in hopes of enticing Microsoft into renewing its full buyout offer.

Mr. Johnson added that Microsoft will be making some announcements about its Internet strategies over the next few days, which may shed more light on its plans for Yahoo. For now it looks like Microsoft is happy to try forcing Yahoo's hand by leveraging Mr. Icahn's hostile takeover move.

Observer Comments

Show: Subjects Only | Full Comments
Close Name:rembrandt22 Posts: 1 Joined: 19 May 2008
Subject: Well...

I only surf with Treehoo.com myself. They plant trees for most of their profit to save the planet.

Close Name:geoduck Posts: 1721 Joined: 30 Dec 2003
Subject: Disrupt?

"innovate and disrupt in search,"

I find his use of the word 'disrupt' disturbing.

Comment on this Article


You cannot edit your comments.   You cannot delete your comments.
Log in | Register | Having Problems? Reset TMO Cookies & Try Again
Username:   Password:   Log me on automatically each visit   

You are not logged in, and this post will appear as "Guest." Log in with your username and password from the TMO forums. If you do not have a username, you can register here.
Please note that guests are limited to including a maximum of two URLs per post.


Post A Comment
  Subject


  Your Comments



Please enter the word exactly as you see it in the image above. Registered users aren't prompted for this. Having trouble reading the image get a new one.


Recent Headlines - Updated Friday, July 4th, 2008

Fri., 7:30 AM
Happy Fourth of July!
Thu., 4:50 PM
Apple Slashes $400 from SSD Drive in MacBook Air
4:05 PM
It's Official - Firefox Sets Guinness Record for Downloads
3:30 PM
Apple Files Patent for a Multi-touch Gesture Language
2:20 PM
Editorial - Mac's Market Share and the Cascade Failure of Windows
1:35 PM
iPodObserver - Apple Slurps Up Samsung's NAND Flash for iPhone 3G
1:05 PM
WSJ: Tips for Switching from Windows to Mac
12:05 PM
iPodObserver - Google Intros Google Talk for iPhone
11:35 AM
iPO Just a Thought - iPod nano Versus iPhone: Decisons, Decisions...
10:55 AM
YouTube Ordered to Turn Over All User Records to Viacom
10:10 AM
Hot Forum Topic - Apple vs. Cell Carriers: Who's Winning the Game
9:25 AM
iPodObserver - Rumor: Best Buy, Radio Shack to Sell iPhone 3G
8:45 AM
.Mac Bookmark Sync Deadline Extended to July 6
8:10 AM
Adobe Reader 9 Hits the Streets
 

The Mac Observer Reader Specials

  • Special Report: WWDC 2008
  • Special Report: iPhone
  • __________
  • Help TMO Grow
  • Podcast: Mac Geek Gab
  • Podcast: Apple Weekly Report
  • TMO on Twitter!
  • New Media Expo 2008

Apple Stock Quote

  • AAPL: $170.12. Change Today: +1.94.
  • (Prices delayed up to 20 minutes.)
  • Discuss in our Apple Finance Board

Hot Topics

Top Deals From DealsOnTheWeb