Google announced that it will release a free Operating System in 2010. This was some thing people had expected and it was not a question of why Google would do it but when Google does it.
This announcement would have ringed alarm bells at Microsoft which heavily relies on the sales of its flagship Windows Operating System. With Windows Vista, the current version not doing so well, Microsoft really needs to go back to the drawing board to counter Google's threat of entering the OS market.
But Microsoft, although under a lot of pressure, is not a silent player. Microsoft plans to get a piece of the pie which is largely dominated by Google. Yes, web search! Microsoft recently launched Bing, its shiny new search engine which promises to declare Microsoft as a solid contender in the search market. Not only this, Microsoft partnered with Yahoo in a search adverting deal to take on Google which owns 65% market share. According to the deal, Microsoft's Bing search engine will power the Yahoo website and Yahoo will in turn become the advertising sales team for Microsoft's online offering.
Never in the history of these two companies has the battle been so fierce with either one working aggressively to take the lion's share in different markets. May the best company win!
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