Gabe Rand, a Definition 6 Client Manager, discussed an article he recently read in Fortune Magazine's Fast Forward...

Why Microsoft needs Yahoo to be competetive. The article discusses that even though Microsoft has caught up to Google search capabilties in terms of results that they are still losing market share.  This is due to a few factors, Microsoft uses live.com, which is relatively new and unknown as a search portal.  Microsoft is also battling the perception that Google is now the Technology giant, even beyond search, which is definitely not the case. For all of these reasons as well as the profitability and associated stock price of that profitability Microsoft will continue to pursue Yahoo's search business.  Microsoft is currently in talks with AOL and Time Warner about acquiring Yahoo's non-search business.

Gabe highlighted a few eye opening points from the article:
1. Microsoft needs Yahoo search to stay competetive.
2. Google is dominating the search market and is looking to partner with Yahoo, which would give an 80%+ market share.
3. Microsoft is willing to deal and push to make this happen.  Clients win with competition, no one wants Google to be the only one out there.

Gabe's closing thoughts to the group were that Google has operated successfully in a single business, search, and done extremely well, but that competition is healthy for web search engine optimization and to help control the costs of paid seo.  The full article can be viewed at: http://money.cnn.com/2008/07/03/technology/kirkpatrick_search.fortune/index.htm?postversion=2008070714