Microsoft Willing To Lose Money Online To Fight Google

Microsoft CEO Steve Ballmer was in Japan to promote Windows Live services and was asked about competition from Google and Android. According to this article in the International Herald Tribune, he acknowledged that Google was “ahead” of Microsoft in search. (It’s not clear whether that includes online advertising as well.)

Ballmer went on to dismiss Android as “just words on paper” so far. He also said that he expected to continue to lose money on Microsoft’s online business for some time. The company is “in an investment mode,” Ballmer was quoted as saying. But given Microsoft’s recent $13.7 billion quarter, the company can afford to subsidize its online efforts for a long time to come.

Postscript From Danny: Be sure to see Microsoft court filing touts Google’s ‘rapid success’ from yesterday, where Microsoft in court documents praises Google as being a strong competitor in the “software industry” in efforts to ensure Microsoft anti-trust provisions aren’t extended.

Related Topics: Channel: Industry | Microsoft: Business Issues


About The Author: is a Contributing Editor at Search Engine Land. He writes a personal blog Screenwerk, about SoLoMo issues and connecting the dots between online and offline. He also posts at Internet2Go, which is focused on the mobile Internet. Follow him @gsterling.

Connect with the author via: Email | Twitter | Google+ | LinkedIn


Get all the top search stories emailed daily!  


Other ways to share:

Read before commenting! We welcome constructive comments and allow any that meet our common sense criteria. This means being respectful and polite to others. It means providing helpful information that contributes to a story or discussion. It means leaving links only that substantially add further to a discussion. Comments using foul language, being disrespectful to others or otherwise violating what we believe are common sense standards of discussion will be deleted. Comments may also be removed if they are posted from anonymous accounts. You can read more about our comments policy here.

Comments are closed.

Get Our News, Everywhere!

Daily Email:

Follow Search Engine Land on Twitter @sengineland Like Search Engine Land on Facebook Follow Search Engine Land on Google+ Get the Search Engine Land Feed Connect with Search Engine Land on LinkedIn Check out our Tumblr! See us on Pinterest


Click to watch SMX conference video

Join us at one of our SMX or MarTech events:

United States


Australia & China

Learn more about: SMX | MarTech

Free Daily Search News Recap!

SearchCap is a once-per-day newsletter update - sign up below and get the news delivered to you!



Search Engine Land Periodic Table of SEO Success Factors

Get Your Copy
Read The Full SEO Guide