Some would think it foolish to continually bail out a sinking ship, as it springs more and more holes the longer it’s in the water. Yet as strange as a metaphor as that may be, that’s exactly what Microsoft has been doing for the last 4+ years with it’s search engine, first Live and now known as Bing.
Realistically you may initially think that it can’t really be that bad, search is a multi-billion dollar a year industry, Bing and search powered by Bing has about a third of the market so how bad could it really be. Bing search share has been growing slowly, abeit steadily since they rebranded themselves and growth and change has been positive. So how bad is it really? Since 2009, Bing has lost $5.5 billion dollars for Microsoft.
The image itself should put into stark contrast the amount of money that’s been lost in the search game. But Microsoft isn’t without tricks or ideas, and in an interview they hinted at some upcoming surprises.
Microsoft President of Online Services Qi Lu gave an impassioned speech about how Bing would improve search by “reorganizing the Web.” To do that, Microsoft plans to leverage its network of products and partnerships to gain a better understanding of what the user is after when they enter a query into a Bing search box.
And as if to emphasize that Microsoft has recognized the necessity for radical change, Lu also said in the same interview:
Microsoft could not and would not try to “out-Google” Google. Instead, it must “change the game fundamentally.”
If Bing stays the course, even the money analysts are predicting positive cash flow in the next 3-4 years, provided of course Bing continually earns search share from Google. Lu’s statement however, sounds as if Bing is being poised to be sent in a new direction.