Perusing AOL’s leaked damn-the-journalism-full-speed-ahead business plan, BoomTown was a little late to the Microsoft Bing event this morning called “Farsight: Beyond the Search Box.”

But things had certainly been cooking with gas when I walked into the meeting room at the University of San Francisco, which the organizers had decked out in white nubby rugs, white pleather couches and those white egg-shaped chairs found only in 1970s decor.

Schweeet!

First up was well-known investor and entrepreneur Peter Thiel, poo-poohing Microsoft’s prospects of ever making money in search.

“It’s difficult to produce a new search company,” said Thiel, noting that even with a growing market share it’s curtains for Bing, given the huge fixed costs. “As far as I can tell, it’s still not breaking even.”

Ouch!

By the way, Thiel sold semantic search engine Powerset to Microsoft for upward of $100 million in 2008 to help it, you know, get ahead in search.

Way to insult your money-bearing hosts!

Then, moderator Vivek Wadhwa harangued the panelists from Google, Microsoft and Blekko in the session “Who Will Win the Spam Wars?”

And they say I’m a snarky moderator! Wadhwa is snarktastic!

Wadhwa did not like any of it–not crappy content sites that sully Web search, not the efforts the companies were making to fix things, not the vision the trio had of the future.

And, by the way, Microsoft was not ever going to make money off all the company’s efforts.

Way to insult your hosts! I like this event!

Of course, what everyone was interested in was a smackdown between Google and Microsoft, given that the search giant accused the software giant of stealing its results today.

In an excellent, if exhaustive, post by Search Engine Land’s Danny Sullivan, Google said Bing was cheating by lifting its search results, which Google said it had proved via a “honeypot” sting operation.

“I’ve spent my career in pursuit of a good search engine,” Google’s Amit Singhal told Search Engine Land. “I’ve got no problem with a competitor developing an innovative algorithm. But copying is not innovation, in my book.”

The very presence of the word “honeypot” in any story about search algorithms is superb, in my book, even though this “controversy” is pretty much a he-said-he-said geek-off.

Google’s Matt Cutts kept up the cheater pressure at the Bing event, in a short debate with Microsoft’s Harry Shum, who was not having any of it.

“It’s not like we actually copy anything,” he said.

Translation: Actually, we do borrow, just like Facebook’s Mark Zuckerberg did to the Winklevii, resulting in a social networking behemoth that will soon take over all search and make this whole debate moot.

Microsoft is rubber, Google is glue. And Facebook, which was not present at the search event, is the real sticky honeypot.

After BoomTown complained at December’s search summit held by Bing about the lack of the finest pastry known to man–namely, donuts!–minions were dispatched by top Microsoft geek general Satya Nadella to fix the dire situation.

And, happily, at Search Summit 2010, there on the lovely snack table were a small pile of them–which looked like Krispy Kreme to me.

There were lacking the key sprinkles feature, but carb crisis averted!

Speaking of features, top Bing execs were on hand in San Francisco to show off all the work they have been doing over the last year in the software giant’s efforts to topple mean old Google (GOOG) via an innovative offering.

Even the plain-speaking Nadella acknowledged in his opening it was still a bit of a children’s crusade, since Bing had barely broken into double digits in search market share and Google was hovering around 70 percent.

But the most recent report released this week by comScore (SCOR) showed continued promise, so Microsoft (MSFT) presses on its long and pricey road!

Here’s my liveblog of this morning’s event at the software giant’s San Francisco office:

10 am PT: Nadella opened with the donuts news. Nice move.

Then, it was onto some promising stats of growth, which have surely been promising, despite the high price tag (Microsoft’s online division lost $700 million in the last quarter, to give you an idea of the sticker shock).

Still, as search exec Brian MacDonald said, as he was presenting all the many new features–such as cards–added over the last year: “We’re in it to win it.”

At the end of his presentation, in a slide title “Future,” he said reporters could not take pictures or video. Sure, hop us up on sugar and then tell us something interesting and bar us from taking snaps!

But MacDonald clicked through the images so fast, it was hard to tell what Bing would be up to. Essentially, it looks like a more blocky, image-heavy design, with more differing fonts and contextual info.

10:40 am PT: A smart search geek Harry Shum was then on with a lecture about search intent and all kinds of insider tweakery that made me confused, since I do not understand terms such as “page-level dialog.” There is also apparently “session-level dialog.”

Harry knows what it all means, which is pretty much all that counts.

My take: It has to do with some sort of digital conversation Bing search dudes are having with the users that users have no idea is actually going on.

Simply put: They’re watching you.

11 am PT: Next search guy talked about search intent and such.

That means adding features such as a link to search history or instant weather on the opening page. It’s the little touches that count.

In fact, they do, as Bing tries to differentiate itself from what Google offers, via a series of neat tricks and clever design.

That includes, for example, easy access to lyrics and song classifiers, when searching in music.

Lady Gaga’s “Poker Face” was used as an example, since Lady Gaga seems to be the go-to gal on seeming cool these days.

(But is it time to check Bing search trends to see if she is peaked?)

11:19 am: Next, top Online Services Division exec Erik Jorgensen came on to discuss mobile and mapping. He compared himself with “Edward Scissorhands” when talking about how hard it is to have a good experience on a small device.

“Type less, do more,” is the internal mantra at Bing, he said. Coincidentally, my mantra is type more, do less.

Jorgensen showed off Bing mobile stats: 23 million users, 160 percent growth and four million downloads of its iPhone app. Yes, it has come to this–Microsoft using Apple (AAPL) to tout its success.

Then it was onto mapping, which is a pretty good arena for Bing. Stats: 41 percent growth in U.S. unique users, 43 percent rise in searches using enhanced maps, a huge boost in map apps.

11:29 am: Bing Maps guru Blaise Aguera y Arcas–who has the single most sexy name in all of geekdom–said the focus is now on social location.

As in Foursquare!

In fact, he showed off a map in which Foursquare check-ins pour in and pop up in a bit of a freaky way, as in: You can stalk in real-time.

Then it was onto cool mapping eye-candy, which I always fall for since the whole zoom-in-zoom-out thing is mesmerizing. Aguera y Arcas showed off clickable geographic names and embedded maps within maps from, in this case, a zoo or a museum.

11:50 am: Q&A Time!

The first question is about gaming. It’s hot said Nadella, and Bing wants to provide discovery and search more than games themselves.

I asked a question about the status of the Yahoo (YHOO) search partnership deal, which is in process. It is a very complex process, in fact.

And, though they were supposed to be in tandem, Nadella said that algorithm would move faster than advertising technology handover.

“If there were a drop of of advertisers [due to the new deal], that would be problematic,” he said.

Yes, which segued into the next obvious topic: When would Bing make some dough?

Thus. I asked about the high costs of competing in the search space, which Nadella said would continue, including distribution deals and in the aggressive marketing of Bing.

“For sure, we had to ante up,” he said. “But the product has to be able to stand on its own…ultimately, the product has to carry the day.”

More questions about distribution, social search, churn, product differentiation and whether Bing is growing from a more passive user to building a “fan base.”

BoomTown brainstorm: If they handed out delicious donuts with each search, I’d leave Google in a New York minute.

But, like a skunk at a garden party, I asked another question about when Bing is going to break even.

Nadella was too smart to answer this digital hot potato.

“It’s a big market where money can we made, and we are making progress,” he said, saying I should ask his bosses about specifics.

I shall!

In this vein, someone then asked a question about whether Bing would ever become a verb as Google has become.

Shum joked that in the future six letters would be too many for people to say, so things were looking up for four-letter search brands!

More questions included whether Google was tweaked by Bing yet (yep!), and whether Bing should try to win in an international market to show some muscle (U.S. is still top focus).

Finally, it was “time to deploy the cream puffs,” said a Microsoft PR honcho.

Long past time, I’d say.

Yesterday, BoomTown liveblogged a demo session Microsoft held for reporters about some new features on its Bing search service, a glimpse at what Twitter and Facebook integration will look like and the debut of a nifty new beta of its online map service.

It is still the bazillion-dollar question–and I do mean a bazillion dollars, since that’s about what Microsoft (MSFT) has lost online after many years of trying–whether Bing can gain some truly significant share in the search market and challenge the sector’s behemoth, Google (GOOG).

But there have been nascent signs of progress, helped by an aggressive attempt to keep innovating and differentiating its Bing product, which is new for Microsoft, long used to dominating.

And, despite various criticisms–over the use of Microsoft’s Silverlight video technology in the cool new map offering, for example–I always like to see competition, because it is the only way consumers win as these tech titans battle it out.

So, after the demo today, I talked to two of the Microsoft search execs there–Harry Shum, a corporate VP who is leading core search development, and Brian MacDonald, corporate VP for Core Search Program Management–about their thoughts on Bing so far.

Here is the video of the interviews:

Please see this disclosure related to me and Google.

]]> http://allthingsd.com/20091203/two-microsoft-search-dudes-talk-about-bing-boomtowns-flip-is-waiting-by-the-phone-for-the-google-search-gurus-call/feed/ 4 http://allthingsd.com/20091202/liveblogging-bing-new-features-demo-no-donuts/ http://allthingsd.com/20091202/liveblogging-bing-new-features-demo-no-donuts/#comments Wed, 02 Dec 2009 18:10:33 +0000 Kara Swisher http://kara.allthingsd.com/?p=21284

Earlier today, BoomTown posted about a visit this morning from a passel of top Microsoft search execs rolling into downtown San Francisco to show off even more new features for Bing.

I am here, but the donuts are not. Um, Google always has organic donuts!

In any case, the lineup included: Satya Nadella, SVP for research and development for the Online Services Division; Harry Shum, a corporate VP who is leading core search development; and Brian MacDonald, corporate VP for Core Search Program Management.

As I previously wrote:

“The rolling-stone-gathers-no-moss team at the software giant–which has been seeing some promising progress in its quest to raise its search market share with its snappy new service–has announced an ongoing series of features since Bing was launched earlier this year.”

It’s 10:07 am PT and I await new wisdom from Microsoft (MSFT).

10:10 am: Nadella, the point man on Bing technology, begins.

He kicks off the show with some stats and a main point: Microsoft’s search share has, as his first slide reads: “Still a long way to go.”

At 9.9 percent versus Google’s (GOOG) share of more than 70 percent, Nadella is correct. But that is up from eight percent in a short time, so not bad.

Unique monthly visitors are also up from 71.7 million to 83.3 million. And perception, which was low, is now 48 percent.

In other words, more consumers seem to know what Bing is.

Personally, if I were Microsoft, I would declare victory and quit now!

10:19 am: A demo dude arrives to show “task” pages, which cluster around intent of searchers.

These are cool, and he’s showing a John Mayer page, which includes concerts and more. I hate that whiny singing dude, demo dude. He was mean to Jennifer Aniston, so he is dead to me.

Phew, the demo dude moves on to Miami. I love Miami. Trying to gauge intent, there is a slideshow available, better weather (rainy but 82 degrees!) and flight info. Plus no John Mayer!

Next, demo dude does movies. He shows times for the freaky “Paranormal Activity” and then offers hi-def trailers. Demo dude’s wife wants him to see it. I advise against it, unless he wants to be looking under the bed for the rest of his life.

Now the cheeky Softies, showing off how good Bing’s info is about Apple, (AAPL); display financial info and even the customer service number. I contemplate ordering a Mac.

This is followed by moves through universities and diseases (with related drug cards).

10:30 am: The demo dude moves on to an early look-see of Bing’s its upcoming Facebook deployment, using its already-announced Visual Search.

It’s apparently going to be very easy to be a stalker on Bing!

On to Twitter, with access to tweets in a variety of ways, from the most tweeted to most popular. Ashton Kutcher pops up like an inevitable Twitter weed, of course.

Nadella comes back and explains that this is being done to “browse to your intent.”

And now it is time for a mobile search update.

Guess what? Intent and search completion in a mobile context is time-sensitive! Who knew?

Actually, I did know and so did the whole world. Here is my typical mobile search: “Where the *&%# is that restaurant/kid party/gas station?”

10:38 am: A new demo dude (let’s call him demo dude #2) is showing off the recent mobile app for Bing, which came out a few weeks ago.

Lots of maps, although he says, “it’s more than just finding something on a map.”

Demo dude #2 types a “T,” which stands for AT&T, and stock info pops up.

He talks into the phone now for weather in Redmond, Wash., where Microsoft has its HQ. Cold and rainy! Which is a shocker for the Seattle area this time of year.

Demo dude #2 does movies and sports, showing a lot of what is on the Web. This is not much different than many mobile apps, but it works nicely.

Nadella seems to be promising an iPhone app soon too, noting that Microsoft will have them for all platforms, but he does not say it outright.

10:47 am: Now, Nadella is onto spatial search, which I like to call “oooh-that’s-pretty search.”

Therefore, we need a third demo dude. Demo dude #3 has a beard!

But he has a real new feature! A new mapping technology, powered by Microsoft’s Silverlight video technology, in beta within minutes. You can see it in action here.

It includes a Google competitor that has been called “streetside” before, with several new twists, which demo dude #3 is calling a “mash-in” (compared to a mashup, which is done a lot with Google by third-party folks).

The demo appears very seamless in comparison, using 3-D modeling and photorealism by integrating its Photosynth research work.

He shows a cool look at a museum and then the French American International School in San Francisco.

In this demo, demo dude #3 was looking at restaurants, which shows reviews and also the whole scene around it, including info on the parking garage you can see.

There is now a Map App gallery, most of which made by Microsoft right now.

11:07 am: A Twitter dude is brought up to show how the microblogger is part of this new mapping stuff from Microsoft, which he calls an “ecosystem.”

Using new geolocating tools on the microblogging service, it shows all kinds of geospatial information of tweets.

Twitter recently signed a data-mining deal with Microsoft, as well as Google.

So, it looks like Microsoft and Google are really going to be duking it out in the online mapping of everyone’s lives. And I look forward to this fight and the eventuality that they will want to map my every move. Bing it on!

11:10 am: Nadella wraps up, essentially trying to keep differentiating Bing from Google.

“We do hundreds of experiments a day,” he says, releasing as many features as possible.

It’s a good stance for a lesser competitor to have: Bing, We Try Harder!

Big words for Microsoft: Intent versus query. Whole page versus blue links. Minimizing time versus task completing. Search hit-or-miss versus dialog.

11:16 am: Q&A!

A question about human versus technology in perfecting this intent goal.

MacDonald and Nadella note that humans are important, but Bing is built around the big computing systems that do this automatically.

Will the structured page be indexable? Meaning Google? No real answer! But I would love to see Microsoft go all Rupert Murdoch on the search giant!

Then comes a question about premium or “non-Google” content. Nadella avoids the question and instead focuses on the “scaffolding” the data.

“We’re not as focused on getting exclusive content,” he says flatly. Uh-oh, publishers! As I reported, Microsoft is not forking over the dough.

MacDonald also tries to stress that Google wants folks off its site and onto the query result and that Bing is focusing on delivering that result right.

Everything is not a command line, declares MacDonald.

On a question of openness and the need to use Microsoft Silverlight technology for some of the rich visual mapping, versus Ajax, Nadella points out the service is too small not to be. Good point!

But Microsoft execs, who often shove their tech right down consumers’ throats, are nearly apologetic about having to use Silverlight (except they add, of course, that it is better!).

Nadella gets another question about paying to de-index Google.

“There is no real intent here that is focused on getting a whole bunch of content that is de-indexed from Google,” he said.

Some more questions about Bing monetization (it had better make money!) and global share.

Since Google is cleaning the clocks of everyone even worse abroad, Bing is focusing on the U.S.

I ask about how the Yahoo (YHOO) deal is going. “Well!”

And while Yahoo seems to be losing some search share to Microsoft, Nadella said his company would provide any “core” technology Yahoo wants to use given that Microsoft will be providing the search platform.

It would have been nice if Yahoo search had done this itself, of course, but Nadella said Yahoo could use the mapping and even task pages.

]]> http://allthingsd.com/20091202/liveblogging-bing-new-features-demo-no-donuts/feed/ 19 http://allthingsd.com/20091202/bing-keeps-up-the-new-features-rollouts-boomtown-will-liveblog-a-microsoft-showcase-at-10-am/ http://allthingsd.com/20091202/bing-keeps-up-the-new-features-rollouts-boomtown-will-liveblog-a-microsoft-showcase-at-10-am/#comments Wed, 02 Dec 2009 11:12:03 +0000 Kara Swisher http://kara.allthingsd.com/?p=21253

This morning, a passel of top Microsoft search execs is rolling into downtown San Francisco to show off even more new features for Bing.

They include: Satya Nadella, SVP for research and development for the Online Services Division; Harry Shum, a corporate VP who is leading core search development; MSN Corporate VP Erik Jorgensen; and Brian MacDonald, corporate VP for Core Search Program Management.

The rolling-stone-gathers-no-moss team at the software giant–which has been seeing some promising progress in its quest to raise its search market share with its snappy new service–has announced an ongoing series of features since Bing was launched earlier this year.

Besides the joy of driving the Google (GOOG) search bigfoots nuts–said one exec at the search giant to me recently in an indignant tone: “You know, we have all those features ready and could add them anytime!”–it’s probably fun to crow about being innovative at Microsoft (MSFT), not exactly the company that would pop to mind when that Silicon Valley prayer word is invoked.

So, what’s next? BoomTown has no idea, but I will be letting you know as soon as I do, via liveblogging the event, which starts at 10 am!

UPDATE: Tom Warren at Neowin.net speculates that the features could include a “Bing Explorer,” which “aims to seamlessly search and browse to find, re-find and discover.” Would that this event were that interesting!

Until then, here is the lovely invite I got from the Softies or Bingies or whatever:

Hi Kara,

You are cordially invited to join us for a Bing news event, Wednesday, December 2 from 10:00-11:00 a.m. at the Microsoft San Francisco offices. Microsoft executives Satya Nadella, Harry Shum, Erik Jorgensen, Brian MacDonald and others will showcase and demo several new Bing features. We will begin promptly at 10 a.m. Please feel free to join us if you can spare the time!

Microsoft San Francisco
835 Market Street
San Francisco, CA 94103

Please let me know if you’re interested in attending. Hope to see you there!

Until he speaks later today, here is a video interview I did with Nadella right after Microsoft struck its search and advertising partnership with Yahoo (YHOO) this summer:

]]> http://allthingsd.com/20091202/bing-keeps-up-the-new-features-rollouts-boomtown-will-liveblog-a-microsoft-showcase-at-10-am/feed/ 10 http://allthingsd.com/20090623/microsoft-pleased-with-response-to-yahoo-hotjobs-ads/ http://allthingsd.com/20090623/microsoft-pleased-with-response-to-yahoo-hotjobs-ads/#comments Tue, 23 Jun 2009 23:00:42 +0000 John Paczkowski http://digitaldaily.allthingsd.com/?p=20106 Microsoft may have failed in its bid to acquire Yahoo last year, but it’s had quite a bit of success in its bid to acquire the company’s talent.

Between November 2008 and March 2009, Redmond hired away five Yahoo veterans. First, Sean Suchter, VP of search technology at Yahoo, left to become general manager of Microsoft’s Silicon Valley Search Technology Center. Then Yahoo search scientist Qi Lu followed him after being tapped as president of Microsoft’s Online Services Group. Soon after that, Larry Heck, former VP of search & advertising sciences at Yahoo Labs, accepted a job in the R&D department of the software giant’s online services division. Jan Pedersen, who once served as a chief scientist and VP of Yahoo’s Search and Advertising Technology Group and Dayne Sampson, Yahoo’s VP of operations for search and advertising, followed.

Now comes word that three more Yahoo execs have taken jobs at Microsoft (MSFT). Knut Risvik, Yongdong Wang and Kevin Timmons, all Yahoo veterans, are now headed to Microsoft.

Risvik, once a chief architect at Yahoo (YHOO), will work on Microsoft’s search platform and infrastructure. Timmons, formerly a Yahoo VP of operations, has been charged with running the company’s data center expansion. What Yongdong Wang, once a VP of international search, will do remains to be seen. He is, however, reporting to Harry Shum, Microsoft’s corporate vice president for search product development, so presumably he’ll be doing something similar.

A nice little trifecta for Microsoft and one that surely inspired Yahoo CEO Carol Bartz to drop a frustrated F-bomb or three. As I said back in March: If Yahoo employee defections to Microsoft continue apace, there may come a day when Redmond will no longer need to buy the struggling company’s search business. It will already have acquired it.

]]> http://allthingsd.com/20090623/microsoft-pleased-with-response-to-yahoo-hotjobs-ads/feed/ 0 http://allthingsd.com/20081204/former-yahoo-tech-star-qi-lu-likely-to-be-named-microsofts-digital-head-by-next-week/ http://allthingsd.com/20081204/former-yahoo-tech-star-qi-lu-likely-to-be-named-microsofts-digital-head-by-next-week/#comments Thu, 04 Dec 2008 13:01:18 +0000 Kara Swisher http://kara.allthingsd.com/?p=7318

Former Yahoo tech star Qi Lu (pictured here) is poised to take on the big job of being Microsoft’s top digital executive, according to several sources inside and outside the company.

The appointment could be announced by Microsoft as early as next Monday.

A variety of details is still being ironed out, though, including whether the well-regarded techie Lu will be “paired” with another executive at Microsoft (MSFT) with more general business experience.

While Lu has managed large teams while at Yahoo (YHOO) and also huge projects, he does not have advertising sales and media experience that will be a big part of his purview at Microsoft.

In that job, he will be the boss of three strong digital execs at the software giant: Satya Nadella, the SVP who heads engineering for Microsoft’s search, portal and advertising platform group; Yusuf Mehdi, whose online services portfolio includes marketing, online audience business development and product management for MSN and the search properties; and Brian McAndrews, the SVP for the advertiser and publisher solutions group.

That executive partner could be some higher-ranking Microsoft exec or even CEO Steve Ballmer himself.

Elevating McAndrews is also a possibility, as he has also wanted the digital chief job and could decide to leave after not getting it. (He also would not be a bad choice for Yahoo’s new CEO.)

McAndrews was the CEO of aQuantive, an ad company bought by Microsoft for $6 billion last year.

As I have previously written, Lu would be a different choice for the post than many had expected.

In picking a serious tech-oriented executive over a more media-centric one, a dichotomy that Ballmer has been puzzling over, according to several people with whom he has spoken, he is clearly staking out an even more head-on fight with Google (GOOG).

But since a lot of Microsoft’s future rests on winning in the search and search-advertising space and trying to catch up with its techtastic Silicon Valley archrival from way back in the race, Lu is also well suited for the position.

Lu was EVP of engineering for the Search and Advertising Technology Group at Yahoo, where he ran all development initiatives for its search and monetization platforms. He was at Yahoo for a decade.

Importantly, Lu will definitely be a draw in bringing in top talent to Microsoft, especially from Yahoo.

Microsoft already grabbed another top Yahoo search exec, Sean Suchter recently.

And it is reportedly in a competitive bidding war with Google right now for yet another top Yahoo engineer.

Ballmer (pictured here), who led the now-defunct takeover bid for Yahoo and who has indicated a strong interest in buying only Yahoo’s search assets, could almost be seen as bypassing it all by sucking the talent right out of the place instead.

That might be a good move, since Yahoo’s board, while under intense Wall Street pressure to do so, is still debating whether to strike a deal with Microsoft to sell off its search and search ad business for massive guaranteed ad revenues.

While board member Carl Icahn has been pushing that deal, others on the board are still dubious that decoupling search from Yahoo is the right strategic move and believe it could leave the company at the mercy of Microsoft.

Yahoo might already be, especially if it keeps losing critical engineering talent to Microsoft. Being able to convince talent like Suchter and Lu to switch is a very bad sign.

Before he left Yahoo earlier this year, Lu was on the staff of the IBM Almaden Research Center, and worked at both Carnegie Mellon University and Fudan University in China (he also got degrees from both places).

And, in the kind of cred Microsoft likes, Lu holds 20 U.S. patents.

He left Yahoo after becoming dissatisfied with all the turmoil there, quitting in June, without another job lined up.

There has also been speculation that Lu would take a position as CTO of Facebook or even return to China for a tech job.

The well-respected Lu certainly has a multitude of choices, but the chance to lead money-laden Microsoft’s digital efforts–as it suits up for battle with Google–has been perhaps too hard to resist.

BoomTown has been poking around to try to figure out who Ballmer would choose for the digital head, ever since the man who used to be in charge, Kevin Johnson, departed in July for Juniper Networks (JNPR), after the software giant’s takeover bid to buy Yahoo failed.

I raised Lu’s name in a post several weeks ago as Ballmer’s top choice.

Several people close to the situation say the aggressive CEO has been keeping the deliberations close to the vest.

On an interesting side note, another one of Lu’s reports at Microsoft would be Harry Shum, corporate vice president of Search Product Development, who was his classmate and friend at Carnegie Mellon.

Please see this disclosure related to me and Google.

]]> http://allthingsd.com/20081204/former-yahoo-tech-star-qi-lu-likely-to-be-named-microsofts-digital-head-by-next-week/feed/ 1 http://allthingsd.com/20081120/its-official-yahoo-search-exec-suchter-to-microsoft/ http://allthingsd.com/20081120/its-official-yahoo-search-exec-suchter-to-microsoft/#comments Thu, 20 Nov 2008 20:45:12 +0000 Kara Swisher http://kara.allthingsd.com/?p=6815

Yesterday, based on sources, BoomTown reported, that Yahoo search exec Sean Suchter was headed to Microsoft.

Now it’s official. Here’s a Microsoft (MSFT) statement on the hiring of Suchter (pictured here), an important tech leader at Yahoo (YHOO), from Satya Nadella, SVP for Search, Portal and Advertising:

“We are very pleased to confirm that Sean Suchter will be joining Microsoft as the GM of our Silicon Valley Search Technology Center, working on Live Search. Sean will report into Harry Shum when he starts work on December 22. We look forward to welcoming him to Microsoft at that time.”

The talent grab from Yahoo is an interesting one, given that Microsoft has also tried to to buy Yahoo’s search and search ad business many times, to little success.

Microsoft CEO Steve Ballmer reiterated that desire yesterday at the software giant’s annual meeting, although he discounted the possibility that Microsoft would rebid for all of Yahoo after it abandoned a takeover attempt earlier this year.

His statement sent Yahoo’s stock further into the basement.

Losing important execs like Suchter, who was the VP of Search Technology at Yahoo, will also not help the company’s prospects. Suchter was deeply involved in Yahoo’s efforts to open up its search platform, initiatives the company has touted aggressively as a bright spot in its not-so-lustrous landscape.

Suchter–who came to Yahoo almost six years ago after it acquired Inktomi (the company that got Yahoo into the search business) in early 2003–has been talking with Microsoft for a while and his leaving was not linked to this week’s announcement that Yahoo CEO Jerry Yang will be stepping down.

But it could be linked to the possibility that another former major Yahoo search exec could also be going to Microsoft. I wrote a post earlier today that I thought the Ballmer was looking at Qi Lu–the well-regarded Search and Advertising Technology group EVP at Yahoo, who left earlier this year–to be its digital head.

All this muscling up in search by Microsoft is troubling for Yahoo. There are big questions, now that Yang is stepping down, whether Yahoo will stay in the search business or sell it off. Yang has been a big proponent of doubling down in search, considering it integral to the entire Yahoo ecosystem.

But others make the very persuasive argument that Yahoo will be increasingly outspent by both Google (GOOG) and Microsoft, in what is turning into a very vicious and expensive arms race.

If it sold off its No. 2 search business to Microsoft–ironically, Yahoo used to deliver Microsoft’s search results–many think it could have huge costs savings and garner guaranteed revenues.

News of Suchter’s departure from Yahoo, including the internal memo announcing it, appeared in Valleywag yesterday.

Please see this disclosure related to me and Google.

]]> http://allthingsd.com/20081120/its-official-yahoo-search-exec-suchter-to-microsoft/feed/ 3