Money Matters - Simplified

Facebook and Yahoo to unite for a new search engine?

Facebook and Yahoo are reported to form an alliance and work on a new search engine.

The news is potent enough to create rampage of opinions in the tech world. Two of world's biggest web giants entering into an alliance can't be ignored just like that.
According to the Sunday Telegraph, Yahoo's CEO Marissa Mayer and Facebook COO Sheryl Sandberg are in talks for the possible conglomerate to develop a search engine.

Moreover, Mayer's and Sheryl's past associations strengthen the authenticity in the hovering rumours. Both were colleagues at world's largest search engine giant company Google, and have acquired innate skills to carve out a similar vision for their own companies.

Cynics percieve it as a fairy tale
However, cynics have spilled cold water on the claims and don't see a logic in the rumour. According to Kara Swisher of 'All Things D', the companies are not undergoing any such talks, and moreover Microsoft is in no mood to let Yahoo go out of its long term search contract. Kara Swisher has been reporting on Yahoo's ups and downs for long and her sources can be trusted upon more than anybody else.

Mayer has a more important vision!
Mayer has garnered public attention for revolutionary changes she has brought to revive Yahoo's lost glory. Since she took over the CEO's job in July, Mayer has been straight forward and clear in rejecting proposals and bringing in fresh staff. She has a lot more to repair in the existing products, than jump to gamble in additional services.

Mark Zuckerberg has been dropping hints about search over the last few months.

"We do a billion queries a day and we arn't even trying. Mostly trying to find people or brand pages or apps. There is a big opportunity in search, evolving to giving a set of answers to a specific question and Facebook is uniquely positioned to do that. For example, 'Which of my friends or friends of friends work in a company I might like to work at?' At some point we will do it."

"At some point, that will start to be a better map of how you navigate the Web than the traditional link structure of the Web. I think there's an opportunity to really build something interesting there," he said.