Kara Swisher

Recent Posts by Kara Swisher

Need Any More Proof Why Microsoft Wants to Back Up the Money Truck to Verizon Wireless?

Here is an amazing chart from a story in The Wall Street Journal recently about mobile phone search preferences, which says a whole lot about why Microsoft (MSFT) is so eager to hand a pile of money over to Verizon Wireless (VZ) to become the default search on its many devices.

Well, as in the PC market and on social-networking sites, because of–wait for it–Google (GOOG), of course.

According to another Journal story recently:

“Under the terms now being considered, Microsoft would share revenue with Verizon from ads shown in response to cellphone Web searches, with guaranteed payments to the carrier of approximately $550 million to $650 million over five years, or roughly twice what Google offered, these people said.”

Why so much of a premium, especially since the widgetization of smartphones makes it easier for all players to compete?

The chart tells the tale:

Please see this disclosure related to me and Google.

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Just as the atom bomb was the weapon that was supposed to render war obsolete, the Internet seems like capitalism’s ultimate feat of self-destructive genius, an economic doomsday device rendering it impossible for anyone to ever make a profit off anything again. It’s especially hopeless for those whose work is easily digitized and accessed free of charge.

— Author Tim Kreider on not getting paid for one’s work