Eye on Microsoft

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This is Shane O'Neill's blog about Microsoft's corporate strategy and its various software and services — the good, the bad and the ugly.

Shane O'Neill

Bing on the Upswing, Say July Search Numbers

Microsoft search engine Bing had another month of market share growth, but this time at Google's expense. Will it last?

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It appears that the $100 million Bing marketing blitz and Yahoo search partnership announcement have paid off for Microsoft, at least for the time being.

Online market tracker comScore is reporting that search market share for Microsoft's "decision engine" Bing increased to 8.9 percent in July, up from 8.4 percent in June and 8 percent in May. Since Bing's launch in late May, Microsoft's search market share has gone up almost a full percentage point.

Though the July gains are significant, it's hard to tell if they represent a long-term trend that will last. But one differentiator from last month is that Google lost share in July, down .3 percent to 64.7 percent. Google's search share was flat from May to June.

Benjamin Schachter, an analyst with Broadpoint AmTech, was quoted in the New York Times as saying his firm is "reluctant to extrapolate [Bing's share gains] into meaningful long-term share gains," adding that despite a slight market share drop Google still had its second highest share of monthly queries ever in July.

Google losing share, however slight, is a good thing for Microsoft, but Yahoo also lost market share and that's not so good given that Microsoft and Yahoo are becoming one search entity. Yahoo dropped .3 percent, to 19.3 percent in July. Though this is a slight drop, if Bing gains and Yahoo keeps slipping it will be like robbing Peter to pay Paul.

When combining the results for Yahoo and Bing, the pending union only increased .2 percent to 28.2 percent in July, according to comScore.

Click here for more on comScore's July search engine rankings.

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