AI
Monday, December 19, 2005 11:14:28 AM
Google Checkmates Microsoft on Web
By James J. Cramer
RealMoney.com Columnist
12/19/2005 10:08 AM EST
Here's Google (GOOG:Nasdaq) without the trap of the December $430 call. Here's Google unbound. And despite the fact that it just wrote a big check, Microsoft-like, to AOL, I think that we have another off-to-the-races day for the Big Guy.
People really don't understand how much Google is playing Microsoft's game, the game Microsoft used to play before the Justice Department wrecked it. Whenever there was a competing technology, or whenever there was a partner to be had, Microsoft just wrote a check to be sure that the company didn't come up with something competitive. Do you remember the Comcast (CMCSA:Nasdaq) deal? I mean, what was that about, other than non-compete money?!?
What Google needs to get for that billion-dollar check is AOL Instant Messenger embedded within the Google home page. It needs to be sure that Microsoft is isolated into its own MSN site, which is known only for its lack of insight and pizzazz. But that's only right, because Microsoft never respected anything but tools. Unfortunately, tools aren't the holy grail of the Net; information is, and the information on MSN seems warmed-over and unimportant.
There was one way that this might not have come to pass, which would have been to integrate some of the intellectual property from a great firm like Time Warner (TWX:NYSE) , but, alas, that's never going to happen again.
Sure, paid search is the modus operandi behind the check to AOL. But the reality is that this is checkmate for Microsoft on the Web -- unless it goes and buys Yahoo! (YHOO:Nasdaq) .
Don't laugh; it would make lot of sense. But Microsoft's probably too stubborn and cowed to make that bold move.
http://www.thestreet.com/p/_yahoo/rmoney/internet/10258092.html?cm_ven=YAHOO&cm_cat=PREMIUM&...
By James J. Cramer
RealMoney.com Columnist
12/19/2005 10:08 AM EST
Here's Google (GOOG:Nasdaq) without the trap of the December $430 call. Here's Google unbound. And despite the fact that it just wrote a big check, Microsoft-like, to AOL, I think that we have another off-to-the-races day for the Big Guy.
People really don't understand how much Google is playing Microsoft's game, the game Microsoft used to play before the Justice Department wrecked it. Whenever there was a competing technology, or whenever there was a partner to be had, Microsoft just wrote a check to be sure that the company didn't come up with something competitive. Do you remember the Comcast (CMCSA:Nasdaq) deal? I mean, what was that about, other than non-compete money?!?
What Google needs to get for that billion-dollar check is AOL Instant Messenger embedded within the Google home page. It needs to be sure that Microsoft is isolated into its own MSN site, which is known only for its lack of insight and pizzazz. But that's only right, because Microsoft never respected anything but tools. Unfortunately, tools aren't the holy grail of the Net; information is, and the information on MSN seems warmed-over and unimportant.
There was one way that this might not have come to pass, which would have been to integrate some of the intellectual property from a great firm like Time Warner (TWX:NYSE) , but, alas, that's never going to happen again.
Sure, paid search is the modus operandi behind the check to AOL. But the reality is that this is checkmate for Microsoft on the Web -- unless it goes and buys Yahoo! (YHOO:Nasdaq) .
Don't laugh; it would make lot of sense. But Microsoft's probably too stubborn and cowed to make that bold move.
http://www.thestreet.com/p/_yahoo/rmoney/internet/10258092.html?cm_ven=YAHOO&cm_cat=PREMIUM&...
