Microsoft unveils new search engine

Software giant hopes that Bing search engine will help it regain ground lost to industry leader Google

BY Euan Stuart LAST UPDATED AT 10:03 ON Fri 29 May 2009

Microsoft has unveiled its new search engine, the successor to its Live Search product which met with only limited success. Bing is described as a 'decision engine' and the company hopes it will revolutionise the search market by understanding better what users are looking for, and offering data based on previous searches. Key among its features is also the 'guided search', which uses search categories to speed up results.

The company is spending heavily on the new launch, reportedly up to $100m, as it tries to break the lead of Google and Yahoo! in the search market.

In the US research shows that Google had over 64 per cent of the market in April, with Yahoo! at 20.4 per cent. Microsoft controlled only 8.2 per cent, meaning it made much less money from search advertising.

The site, Bing.com, is not yet live but is expected to be available from next week in the US, with a UK launch at the same time. The name was arrived at as an easy-to-remember term and was not named after US icon Bing Crosby, the company added.

Microsoft hopes the new service will turn its search business around, with Paul Stoddart of the company's UK operation saying "The major search engines were developed over a decade ago, and we believe the category is still in its infancy. It's important to challenge and evolve the search market… there is much more that people can and should expect."

Some experts doubt that the new product will be a success, however, and believe that Microsoft may once agan resort to buying market share by launching another bid for rival Yahoo!, after failing in its attempt to take it over last year.

WHAT THEY ARE SAYING
Andy Mihalop, of i-level online media agency, in the Times: "It's going to be very difficult for them to break the Google habit, because Google is such a familiar brand. I can see people who do use it will become more engaged but Microsoft is going to have to invest a huge amount in advertising to get people away from Google. Also, as far as advertising goes, our clients are still predominantly looking at market share. So for most advertisers Google will remain first choice, though I would like to see a successful challenger emerge."Brier Dudley, Seattle Times: "Bing makes you wonder if Microsoft executives regret selling or spinning off some of the Web services it built in the 1990s, such as travel site Expedia and entertainment directory Sidewalk. It basically re-created some of their features to give Bing its bling. Imagine what might have happened if it had rolled them into MSN Search back in 2000."
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