30 May 2006 | Author: Gilli Goodman

Google and Dell agree to 'quick and easy' desktop search

Google have announced a deal with the PC manufacturer Dell that is set to move in further on Microsoft's share of the personal computer homepage market.

In a three year deal, Google will pay a rumoured $1 billion to incorporate its desktop software, the Google tool bar, and a co-branded internet home page on as many as 100 million new Dell PCs, following a bidding war in which Google pushed out Microsoft, the world's biggest software maker, after search rival Yahoo! withdrew.

Announcing the deal, Dell's Jess Blackburn said that the company feel the tools will help the customers search and organize digital information quickly and easily, right out-of-the-box. On the flip side, Google plan to benefit from the presumption that users will not bother to uninstall their software. Many have wondered if this strategy is based more upon testing new avenues and 'sticking it to Microsoft' than direct revenue generation.

So what effect will this news have on the industry? The deal is widely seen to be a setback for Microsoft and a dent on their previous stronghold: the homepage market. Moreover, Google have hinted that this deal is just the tip of the iceberg. Whatever Google does next, it is becoming clearer that their world domination plans involve more than being just the best search engine.

In any case, Microsoft needs to step up their game and fast. They already have Google to take on, but now that Yahoo! has eBay under their belt it's more than time for Microsoft to build inroads into the online search market. One thing's for sure, they won't let their old digital supremacy go without a fight.

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