Schmidt: Google Worries About Microsoft, Not Facebook

Eric Schmidt isn’t buying into this “Facebook is the new Google” hype at all.

Speaking to reporters at the World Economic Forum in Davos, Switzerland, today, the outgoing Google CEO said Google has far more profound concerns than the social network that Goldman Sachs recently valued at $50 billion–Microsoft, for example.

“Microsoft has more cash, more engineers, more global reach,” he said. “We see competition from Microsoft every day.”

Evidently the same is not true of Facebook. “[Facebook has] clearly stated they don’t want to get into the search business,” Schmidt continued. “Facebook users tend to use Google search. Facebook’s ads business does not displace our advertising. I’m somewhat perplexed by the obsession because I don’t think the facts support it. Things are going great for Google….Facebook usage is a net positive for us.“

Of course this being Eric “false denial” Schmidt we’re talking about, this could be the best evidence yet that Google really is worried about Facebook.