Yahoo's Marissa Mayer: Partnership with Microsoft isn't delivering

Yahoo's Marissa Mayer: Partnership with Microsoft isn't delivering

Summary: Yahoo's CEO Marissa Mayer has said that the firm's partnership with Microsoft is not delivering either the marketshare or profit it should.

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TOPICS: Microsoft
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yahoo marissa meyer ceo microsoft partnership

Yahoo's Marissa Mayer has said that the search partnership between the tech firm and Microsoft has not been as lucrative as expected.

The CEO, brought on board in 2012, does not believe that the collaboration has resulted in neither the market share or revenue that the firm predicted.

Speaking at the Goldman Sachs Technology and Internet Conference in San Francisco on Tuesday, Reuters reports that Mayer said the companies want to "collectively want to grow share rather than just trading share with each other," and at the moment, Microsoft's Bing search engine isn't quite making the cut.

"I'm not confused. Our biggest business problem right now is impressions. Basically can we grow impressions, can we get growth happening here. We need to see monetisation working better because we know that it can and we've seen other competitors in the space illustrate how well it can work. We've seen some gains but we need to see more." Mayer commented.

In 2010 Microsoft and Yahoo! signed a ten-year collaboration to provide a web search system which would hopefully prove a competitor to Google's search engine, and provide more advertising revenue to boost Yahoo's cash flow. However, the scheme has not performed as expected, and so the 37-year old CEO has to begin looking at other avenues.

Mobility is also on the new CEO's mind. Yahoo has bought a number of companies that create mobile apps over the last year, and plans to ditch any mobile apps that are no longer suitable for Yahoo's "focus areas," potentially shrinking the app range from about 70 to a dozen. Mayer believes that Yahoo should be a place people turn to to make daily Internet activities more interactive and easy, and by slashing the number of apps available this can be achieved -- as well as providing a better focus for advertisers to invest in the tech firm.

Topic: Microsoft

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36 comments
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  • Of course it isn't

    Bing is horrible at finding what people want, in spite of Microsoft's Bing is better campaign.
    slickjim
    • It's weird

      Bing on my phone is great, but bing on a computer is useless.
      everss02
      • Funny situation

        It seems like every time an I.T. company's results does not meet expectations, the fault is on the partners. Remember when Microsoft claimed that Win 8 did not boost the PC Market because their partners did not produce enough touch oriented devices.

        Now, Yahoo now officially a "has been" is worried that their partnership with Bing is not giving them the profit they were expecting. It is not the search engine that is the problem, it is the overall interest that people now have for Yahoo. Bing is good enough and should not be a problem for Yahoo, but Yahoo has to market itself and they are simply not doing it anymore. They ave to belong to the web community. For me, they are in the "I don't but what are they about again" zone.
        gbouchard99@...
    • I don't see the "horrible" in Bing

      I use it daily for everything. I probably access good once a month if that. I love Bing and really see no difference in the results I get between the two search engines. Bing wins with the UI design as well. It's refreshing to see a beautiful background scene from around the world each day. Makes me feel good as I search. As for Google the home screen is boring and self centered. Makes me feel like Corporate America is infatuated with its self.
      Rob.sharp
      • Regarding Google's (search) home screen

        I use Bing from time-to-time and have nothing against it. I still prefer Google with it's boring search screen. I hope Google never changes that. I want speed and utility above all other considerations. The reason I don't use Bing more often is that Google finds exactly what I'm looking for 99.9% of the time. I also known some tricks to better target my search. So why bother going somewhere else? I'm glad that Bing is around, though. It's an alternative as well as an incentive for Google to keep innovating.
        TroutHound
        • And don't forget

          Google is an incentive for not only Bing to keep innovating but for Microsoft as a whole to innovate too. Same with Apple too. That's why I'm grateful for Google Docs, Google Search, Chrome OS, Android, etc because all those will keep Microsoft innovating and making good products.
          Jabe124
    • It is?

      The Bing it on commercial says more people prefer Bing's search and that matches my own experience with it.
      http://www.bingiton.com
      Loverock-Davidson
    • you should be searching for drugs and google is best at it.

      .
      Owlll1net
      • Thank you for confirming what is known

        That when you use google to search for stuff, you get great results.. Surprised you said that with your view on google.. But you also say you block google's dns on your hosts and router.
        Anthony E
        • My comment doesn't imply that, you are making that up

          I was making a sarcastic comment @slickjim, Google ips, trackers and ad engines are blocked and I don't use any of their services.

          Google was fined $500 million for drug adverts, go figure out yourself...
          Owlll1net
      • ahh the resident ms shills appear..

        Wouldn't be zdnet without you plugging microsoft and slamming everyone else.. at least you are consistant i suppose.
        frankieh
        • At least...

          ...we don't have any accusations of treason or personal attacks against Ms. Meyer.
          John L. Ries
    • I took that test that Bing had on the search page 2 days ago,

      and, surprisingly, I couldn't detect any differences between Google or Bing, so, I randomly made the 5 choices, and Google won by a 3 to 2 margin, but, it wasn't because Google had better results. I suppose that, if I took the test again, the Bing might end up on top the next time. When you are reduced to doing random selection, then you know that, there is no real difference in the results.
      adornoe
  • Yahoo has lost my loyalty because the horrible email system.

    Hacking yahoo mail is no challenge at all. I get calls all the time from Yahoo mail users who's accounts are sending out junk.
    zmudd
    • May i ask

      how could people flag this comment, when

      #1. its true
      #2. its a personal opinion.
      Anthony E
    • zmudd .. it's actually been official for some time

      - that Yahoo has been compromised and stands the very highly likely chance of losing its biggest contract in New Zealand: Xtra (under Telecom). The obvious culprit being the compromised details - private contact details and credit card particulars, etc of countless Yahoo! Xtra account holders.

      What smacks of absolute audacity with Mayers, is how she makes it sound as if she hasn't more important issues to worry about in her own rundown, woeful, neck of the woods.

      " ... I'm not confused. Our biggest business problem right now is impressions. "

      That's rich, coming from a business model that allows its primary email service to, *not only*, get pwned by a bunch of crackers, but also have the service virtually, fully compromised. So the (formerly) private credit card details and contacts lists of thousands of email account holders are now effectively spam delivery bots. I've got a case in fact: my brother's Yahoo account must be on the list as i get at least a couple bogus, Yahoo email spam messages in my Spam container per day.

      For mine, i really believe this cheeky (..yet incredibly hot [not too unlike Ms. Osborne]) CEO ought to keep her mouth shut and focus on fixing the sh*t load of troubles Yahoo has, rather than "projecting" and trying to obfuscate the truth behind Yahoo's crappy performance -and trying to falsely pin Yahoo's woes on a third party (i.e. MS).

      Yahoo is a disgraceful sham of an I.T. service provider and i can see the writing on the wall for it. Good riddance is all i can say .. when they do, finally go belly up.

      Can anyone say, Fire Sale?
      thx-1138_
  • I My Yahoo for finance and other RSS feeds

    but never use Yahoo's or any other web page search field - the browser's URL bar or search bar are go-to for searching, and I'd imagine that's typical of many or most users.
    I2k4
  • Well duh!

    It seemed like a pretty rotten deal from the begginning. I understand that Marissa Mayer wasn't in her current position when it happened, so she had no say at the time - thus her opposition to it.

    I don't really know or understand what it is Yahoo! does at the moment. Their foray into search-engine business seemed pretty doomed given thatIt just seems like they exist as a web portal - something most of us don't really use anymore.

    Bing is okay, and sometimes I make use of it, but it doesn't have the reputation that Google does. I think if the Microsoft were to call it quits on their search venture, they'd still have something to fallback on.
    jetsethi
  • Marissa Mayer

    She is a just a google pawn.
    rdubmu
  • But she is hot !!1

    As for BING, "Bing Is Not Google", I use it exclusively, and trust it for more than I would ever trust Google. It simply appears BING has a different ethos that Google, not as pervasive and prying. Or at least not appearing to be so.
    Aussie_Troll