The War Between Microsoft And Google

After the failure of YAHOO, Microsoft tried to stop the combination of Google and YAHOO.

However, antitrust experts believe that Microsoft CEO Ballmer and his company will have difficulty in preventing this cooperation from being approved.

Microsoft is trying to prevent Google YAHOO from claiming cooperation against its acquisition.

Microsoft has made various efforts to "destroy" or delay YAHOO's outsourcing of some search advertisements to Google.

Microsoft said the company is still interested in acquiring YAHOO's search business.

In addition, Microsoft dispatched a company lawyer and its staff in Washington to lobby the Congress, pointing out that the cooperation between Google and YAHOO would bring about monopoly of search advertising.

Microsoft believes that with YAHOO's cooperation, Google's search business will be strong enough to be invincible.

But antitrust experts disagree.

"I think it's just a trick of Microsoft in the political field," said Glenn Manishin, a lawyer for Duane Morris's law firm's antitrust and technology policy.

All antitrust experts believe that growing up does not mean bringing bad results. Only bad things will bring about bad results.

In February, Microsoft offered to buy YAHOO at a price of 44 billion 600 million US dollars.

Because YAHOO's price is still higher than Microsoft's final price of 47 billion 500 million US dollars, the deal finally failed.

Microsoft then offered to buy YAHOO search business for $9 billion, but it has not yet been successful.

On the other hand, YAHOO will trade with Google in mid June and will launch Google search advertisements on its website.

YAHOO pointed out that this cooperation will bring an additional cash flow of 250 million to 450 million dollars, and YAHOO can use this fund to develop its own search engine.

Through this paction, Google succeeded in keeping YAHOO away from its main competitor, Microsoft.

Ballmer also said that after Google YAHOO cooperation, Microsoft was reluctant to undertake a series of legal and regulatory issues arising from the acquisition of YAHOO.

Whether or not YAHOO is acquired, Microsoft will continue to challenge Google's dominance in the Internet.

Microsoft launched a search recovery project last month.

If users purchase products such as Wii or digital cameras through Microsoft Live Search, cash refunds can be obtained.

Looking for antitrust review

In fact, cooperation between Google and YAHOO is now possible because only $50 million worth of mergers and acquisitions must be approved by the US government.

However, Manishin said that such pactions would still be subject to censorship.

Second days after YAHOO and Google announced the plan, the US Department of justice has launched an investigation.

YAHOO and Google are working with the US Department of justice to resolve antitrust issues in cooperation.

The two companies also said that the cooperation between the two sides would not start until the end of the review.

Google now has to deal with the concern of the US Department of justice for this cooperation.

Jeffrey Chester, executive director of the digital democracy center, said: "Google is becoming stronger and stronger, and it is hard to bear the branding of some events."

If the US Department of justice decides to oppose this paction, it can issue a court hearing to prevent Google and YAHOO from taking the next step.

Experts say this is unlikely to happen because the Bush administration has shown a tendency to push ahead with big deals.

Google also believes that the deal will be approved.

Kent Walker, general counsel of Google, said: "we believe that this paction is a frank, non exclusive commercial paction that can promote competitiveness and will not cause problems in the usual mergers and acquisitions."

Microsoft is now counting on the US Department of justice to stop the deal.

Microsoft said it would be difficult for Google to convince the judiciary on antitrust issues.

A source close to Microsoft said: "when pactions involve the top two players in the market, they will encounter difficulties when persuading regulators to cooperate without problems."

The anti monopoly expert is on the side of Google.

However, some anti-monopoly experts say that the judiciary will not intervene severely because Google YAHOO cooperation is not a merger.

Gary Reback, a leading antitrust lawyer, said: "the real concern of the Justice Department is whether Google will raise the price of Internet advertising after the paction.

If this paction is mergers and acquisitions, and Google has gone up in price, you will regret that YAHOO does not exist, and you can not stop it.

But in fact, this paction is not a merger.

The Ministry of justice will pay close attention to the situation and watch the development of both sides.

Google points out, in particular, that the judiciary has never opposed a non exclusive paction.

Google's legal team believes that if TOYOTA can sell hybrid technology to general motors, Google should also be allowed to sell search technology to YAHOO.

However, Microsoft believes that this paction is a substantial acquisition of YAHOO by Google and a threat to advertisers.

Microsoft sources said: "trading will strengthen Google's strength and make YAHOO more dependent on Google.

No matter how they deny it, YAHOO is providing search traffic for Google. "

Several anti-monopoly experts say that the Department of justice is more likely to push the deal than opposed, because it helps YAHOO maintain its independence.

Reback said: "if the paction is not approved, YAHOO will become weaker and more likely to lose its independence.

We hope that YAHOO will still exist and compete with Google.

YAHOO is a competitor closer to Google than Microsoft. "

He also pointed out: "the Ministry of justice hopes that YAHOO will have enough funds to do some constructive work.

This means that if YAHOO fails to make a breakthrough in 6 months, instead of relying more on Google, while Google has raised the price of search advertising, the judiciary will oppose the deal. "

Many officials in the US government are worried about the deal.

In addition to competitiveness, many officials believe that Google will gain large amounts of Internet user data through cooperation.

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