Yahoo and Microsoft are poised to finally sign the definitive agreement that will govern the complex and far-reaching search and online advertising partnership they struck in late July, said sources close to the situation.

If all goes well, the various Microsoft and Yahoo execs–who have been ferreted away over the last weeks, busy dotting all the i’s and crossing all the t’s in the massive document–could even turn in their deal homework to their bosses for signature by the end of the week.

Yahoo (YHOO) officials declined to comment, while Microsoft (MSFT) has not gotten back to BoomTown as yet.

In any case, getting the definitive agreement in place is critical to making the high-profile MicroHoo deal a reality and, of course, getting the anti-Google (GOOG) party started.

So when the pair blew through a deadline to complete it in late October, there were eyebrows raised all over Wall Street and Silicon Valley.

When Yahoo filed an 8-K with the Securities and Exchange Commission in August, it noted that the “Definitive Agreement” between the Silicon Valley Internet company and the Redmond, Wash., software giant needs to be sketched out by Oct. 27, 2009.

But it is a monster document, which is why MicroHoo did not complete it in time. After that whiff, Yahoo said as much in another filing with the SEC:

“The Letter Agreement specified that the parties would execute definitive agreements by October 27, 2009, but given the complex nature of the transaction, there remain some details to be finalized.”

Added Microsoft similarly:

“We have made good progress in finalizing the definitive agreements. Given the complex nature of this transaction there remain some issues that need some additional clarity and definitive details.”

Nonetheless, both companies have consistently said that they would be able to close this deal by early 2010.

Yahoo and Microsoft had already done a pretty hefty binding-agreement letter (here is a picture of Yahoo’s CEO Carol Bartz and Microsoft CEO Steve Ballmer holding it, in fact).

Also key: Getting approval for the deal from regulators in Washington, D.C., which, sources said, also seems to be on track.

With little opposition, Yahoo and Microsoft policy types have been chipping away on regulatory issues with federal regulators in Washington.

And, several sources said, those government approvals are now nearing completion at the Justice Department, even though the Federal Trade Commission might still ask for more assurances on privacy issues related to online advertising and consumer data.

International regulatory approval is another story, especially in Europe, which could further delay the implementation of the partnership, since it is unlikely the pair would move forward without clearance globally.

When that is done, the real game begins, as MicroHoo faces its the much more critical Tim Gunn acid test for the deal:

Making it work.

The new MSN homepage debuts tonight and you would be completely correct in thinking the recipe Microsoft (MSFT) has cooked up to inform its design ethos–white, clean and hiply modern–has definite echoes of a certain longtime tech rival.

That would be Apple (AAPL), of course, with a big dollop of Twitter and Facebook tossed in, and finished off with a generous sprinkling of Microsoft’s new Bing search service.

For those who care: The MSN butterfly logo remains, although it appears to have lost a lot of weight too.

(You can view a preview of the site here.)

The launch is the first major upgrade of the MSN main page in–if you can believe it–a decade, part of an overhaul that the software giant has been doing throughout its money-losing online services division.

That has included the launch of Bing in May, which has been a success for Microsoft, adding a small amount of search market share and, more importantly, some much needed respect to its long-beleaguered consumer Web efforts.

The company’s online execs are trying to keep up the innovation momentum with the new MSN redesign and–as you can see below from the various screenshots–it is a major shift for the portal site.

Together, MSN and Windows Live have about 100 million unique monthly visitors, putting Microsoft typically third behind Google (GOOG) and Yahoo (YHOO).

The company hopes to do better with a fresher MSN, which is clearly aimed, first and foremost, at clearing up the clutter and link-heavy old MSN homepage.

MSN execs said the new main page has about half the “blue” links.

(See a video interview I also did with MSN exec Bob Visse about all of this here, along with other videos Microsoft did with its MSN staff.)

The top of the new page features a big image module, with inline video and drastically reduced topic areas–as BoomTown has previously reported–limited to news, sports, entertainment, money and lifestyle.

Under that is a more customizable news module, to which feature tabs can also be added, such as for the World Series or–prolonged sigh–Balloon Boy coverage.

On the bottom left is a much-goosed local module that resolves to beefed-up local sites, which is right next another section featuring Bing top searches.

Bing is present in every part of the site now, with Microsoft stressing it and using its structured data to improve the consumer experience.

That’s important for Bing search too, since MSN provides 45 percent of its traffic.

Communications modules are to the right, midpage and on the bottom.

Unlike AOL and Yahoo, which have added the ability to put third-party email on their homepages, only Hotmail is now available on the new MSN, although this is likely to change soon.

But perhaps the design element that will garner the most attention is the prominent placement of both Twitter and Facebook tabs in the bottom communications module, right next to one for Windows Live.

This allows users to update their status and get instant access to the status of friends and followers.

“We wanted to cut the clutter, while also giving users one convenient place to find what they need quickly,” said Scott Moore, executive producer of MSN in the U.S., its most important market, in an interview earlier today with me.

“People are overloaded with information and they wanted us to fix that, even if the service is not ours.”

The focus on Facebook and Twitter was simply due to intense user interest in the popular social networking sites.

“Facebook has popped and Twitter was really growing,” said Moore, who noted that there was the possibility of adding other third-party apps in the future.

A heavy emphasis on apps was a key strategy of Yahoo’s homepage redesign, officially launched in late July, which SVP Tapan Bhat touted at an meeting with analysts last week as having increased page views and engagement.

Advertising on the page is perhaps the most conservative part, with units that remain largely as before.

The new MSN homepage will begin rolling out now, eventually reaching about 10 percent of users by early next year. After that, it is expected to become widely available to U.S. customers and then go worldwide.

Here are screenshots of the changes to peruse (click on top three images to make them larger):

Old Homepage:

New Homepage:

Local Edition:

Twitter Section:

Facebook Section:

And here is the official Microsoft press release:

New MSN Designed to Be the Best Home Page on the Web

Fresh, new design delivers best of Bing, latest in news and entertainment, instant access to Facebook and Twitter, and customized local information in one place.

REDMOND, Wash.–Nov. 3, 2009–Microsoft Corp. today unveiled a preview of its most significant home page redesign in over a decade. The new MSN home page is designed to be the best home page on the Web, with powerful Bing search, the top news and hottest entertainment, and some of the most popular social networks–all in a fresh new look. The new home page will deliver comprehensive local information from the new MSN local information offering, MSN Local Edition, also unveiled today. Beginning today, anyone can preview the new home page at http://preview.msn.com. The new home page will begin rolling out today and become widely available to U.S. customers early next year.

Ninety percent of people surveyed find home pages such as MSN to be valuable, and they like the convenience of a comprehensive site.* Nearly 100 million people in the U.S. visit MSN every single month, and MSN added over 10 million new customers in the last year alone. However, today’s sites often fall short of top customer needs and many haven’t kept up with evolving trends. Extensive customer research highlights that people want less clutter and easier access to information and services they care about, including search services that help them make decisions easier and faster.

“Now is the time to clean up the mess on the Web–people need less clutter and less hassle to find what matters most to them,” said Erik Jorgensen, corporate vice president, Microsoft. “Microsoft is uniquely invested in search, media experiences and technical innovation. Combining these assets to deliver our new MSN home page is a tremendous win for customers and advertisers.”

The clean, new MSN home page cuts through the clutter with 50 percent fewer links than the previous home page and a simplified navigation across news, entertainment, sports, money and lifestyle. The new MSN home page also embraces the latest customer trends by deeply integrating powerful search from Bing and providing easy access to Facebook, Twitter and Windows Live services, comprehensive local information and in-line video. Sophisticated technology powers the home page to deliver personally relevant information, and improved performance satisfies people’s need for speed.

New key features of the MSN home page include these:

* Innovative search technology from Bing. Deeper Bing integration on the new home page helps people make faster and more informed decisions and easily find the information they want from anywhere on the Web. Bing is deeply integrated as the core search service throughout the home page via key areas such as shopping, travel and local, and as a way of highlighting hot topics, trends or people.

* Information and news people care about. The new home page delivers against the No. 1 customer request–simplicity and ease of use–through its fresh design and smart categorization. In-line high-quality, top news and hot entertainment from trustworthy sources such as MSNBC, FOX Sports, Hulu and Hearst, and comprehensive local information provide a compelling one-stop shop for people to use as their home base online. More in-depth local information is offered on the new MSN Local Edition, which is the only local online source that smartly combines media with Bing search and provides access to real-time community news that is grouped by ZIP code.

* Convenient ways to communicate. Simplicity drove the clean integration of popular social networks, such as Facebook, Twitter and Windows Live “What’s New,” which aggregates up to 50 Web activities, including Yelp, Flickr, Pandora and more, onto the MSN home page. People no longer have to jump from site to site to update their status, tweets or see what their friends are up to; the new home page makes it easy to view and update in-line.

“Customers told us they want the latest information from their favorite sources, their friends and the breadth of the Web–and the new MSN home page delivers via a fresh new look and new features,” Jorgensen said. “Today is an important transformation for MSN, and it’s just the beginning.”

In a stunning one-two punch, Microsoft will announce separate nonexclusive deals today with both Facebook and Twitter to integrate their real-time feeds of status updates into the Bing search service.

According to sources, Microsoft (MSFT) digital head Qi Lu will announce the deal onstage in a few hours at the Web 2.0 Summit.

BoomTown reported earlier today that the Microsoft data-mining deal with Twitter was poised to be announced.

But the addition of Facebook raises the stakes considerably because it has the largest pool of status updates, despite all the hype around Twitter. Facebook has previously stated that it has 40 million updates a day, on average, from its 300 million-plus audience.

Twitter has been talking to Google (GOOG) about a similar arrangement, and, according to sources, so has Facebook.

But the deal is a definite blow to the dominant search engine, since–for the first time–data will be available on Bing that are not available on Google.

Neither of the services is expected to be up and running for weeks, if not months. But there is the possibility of a demo today by Qi Lu of what it will look like.

What’s interesting about the deals, which have been in the works for several weeks, is that they will be very different.

Much of what is posted on Twitter is public by design, while Facebook users prefer the closed nature of the service to disperse a wide variety of personal information only to their friends, and they want to control it.

Thus, sources said, not all Facebook updates will be included in the real-time feed to be searched by Bing, but only those its users choose to make available to the wider public. Facebook will apparently provide users with a number of new tools to do so.

BoomTown first reported several weeks ago that Twitter was in advanced talks with both the search rivals about such a real-time search arrangement.

When asked about the talks onstage at Web 2.0 yesterday, Twitter CEO Evan Williams turned coy, according to numerous reports, joking “Whose deals?”

But, in fact, the San Francisco-based microblogging service was very much engaged in dealmaking aimed at gaining more visibility for the billions of tweets from its 54 million monthly users.

And so was Facebook, and it is probably a little irksome to Twitter that the rival social networking site will steal some of the thunder over the deal, which is sure to break out in the blogosphere today.

The two services represent the hugest trove of real-time and content-sharing information, generated from their massive data streams.

The deals with Microsoft might include a payment of several million dollars to both Facebook and Twitter, along with various revenue-sharing proposals that would give them a piece of the advertising revenue made from search results.

Doing these kinds of data deals with big search players does make a lot of sense, since it would be hard for both companies to turbocharge their own search engines without running into the big cash-laden guns at both Google and Microsoft, which recently launched the Bing search service.

Being deeply integrated into big search services would give both companies an even huger footprint.

Microsoft did a small experiment this past summer by integrating Twitter data into search results, starting with tweets of bloggers like me.

And the company provides search services to the Silicon Valley-based Facebook, part of a major investment deal it made several years ago.

Both Microsoft and Google had separately contemplated buying Twitter and Facebook in deals that never materialized.

But, if they both strike data deals with Twitter and Facebook, they will get the next best thing–an ability to offer all that real-time information to the masses from its most innovative sources.

According to sources, Microsoft is close to striking a nonexclusive data-mining deal with Twitter to integrate the microblogging service’s full feed into the results of its Bing search service.

News of the deal, which was still being worked on by engineers and execs at both the software giant and the start-up as late as yesterday, could even come as early as today at the Web 2.0 Summit conference in San Francisco.

Qi Lu, the head of Microsoft’s online services division, is being interviewed at the event at 11:30 am PDT.

Note: Lu is scheduled to appear onstage after Yahoo (YHOO) CEO Carol Bartz, who is now too sick to attend, the company said. She also missed Yahoo’s third-quarter conference call due to an unspecified illness.

Thus, Lu is the main event of Web 2.0 tomorrow morning and it would be a good place to make a big announcement, if the talks are successful.

But sources close to the situation caution that the deal could still run into a snag and was not yet complete, although it seems more likely than not that a deal will soon be struck with Microsoft (MSFT) first and then Google (GOOG), which is the other company Twitter has been negotiating with.

BoomTown had previously reported that Twitter was in advanced talks with both the search rivals about just such a real-time search arrangement.

There could be other possibilities on the table, said sources, such as one of the big companies advertising on Twitter or any number of other Twitter partnerships with either one.

When asked about the talks onstage at Web 2.0 yesterday, Twitter CEO Evan Williams turned coy, according to numerous reports, joking “Whose deals?”

But, in fact, Twitter, which is based in San Francisco, is very much engaged in dealmaking in this regard.

Here is what I wrote previously, as to what and why:

Sources said a number of scenarios are being discussed to compensate Twitter for its huge and potentially valuable trove of real-time and content-sharing information, generated from the data stream of billions of tweets from its 54 million monthly users.

These include a number of structures, including a payment of several million dollars to Twitter, along with various revenue-sharing proposals that would give Twitter a piece of the revenue made from search results.

The deals, stressed sources close to the situation, are nonexclusive, especially because Twitter’s management is keen to remain independent and also nonpartisan in the growing search battle between Google and Microsoft.

This means Yahoo–which recently struck a search-technology and online-advertising partnership with Microsoft–could also license Twitter’s feed to make its search results even more robust, although Boomtown could not determine if the company is in talks with the San Francisco start-up.

Sources said it is also possible that no agreement would be reached with either company.

And execs at Twitter, Microsoft and Google had no comment when asked about talks.

But doing these kinds of data deals with big search players does make a lot of sense, since it would be hard for Twitter to turbocharge its own search engine without running into the big cash-laden guns at both Google and Microsoft, which recently launched its new Bing search service.

Twitter is, instead, seeking to create a large open platform, which many could plug into, from search engines to marketers to publishers to developers.

Twitter has also been considering offering premium services to these groups and is contemplating some form of advertising offering.

But, most of all, Silicon Valley’s hot start-up is focusing now on spurring growth and engagement, along with fine-tuning its product offering.

Being deeply integrated into big search services would give Twitter a huge footprint.

Microsoft had already done a small experiment this past summer integrating Twitter data into search results, starting with tweets of bloggers like me.

How much indexing of its data Twitter will allow is unclear, but the company has certainly bought itself time to think carefully about all its options, given that it now has a lot of money in the bank.

Late last month, Twitter raised another $100 million in new funding, after already having raised $55 million.

This has given it a $1 billion valuation, despite negligible revenue.

The valuation also effectively stated that the innovative company was pretty much putting itself out of play to be acquired and is very interested in forging its own destiny.

Both Google and Microsoft execs have contemplated the idea of buying Twitter in the past, although no serious talks ever moved forward.

If they both strike data deals with Twitter, they will get the next best thing–an ability to offer all the information disseminated on Twitter in search results.

Yesterday, BoomTown wrote about the status of the regulatory approval for the Microsoft-Yahoo search and online advertising pact.

While none of the key constituencies wanted to comment or make predictions about the outcome of the government scrutiny, most seem to agree that the MicroHoo partnership is more likely to be approved than not.

One of the few vocal critics of the deal, though, is Jeffrey Chester, the executive director of the Center for Digital Democracy, a public interest group.

CDD, along with several other consumer groups, recently sent a letter to the Justice Department’s antitrust head, Christine Varney, expressing concern about the control and collection of consumer data in the deal.

CDD also has been querying Microsoft (MSFT) and Yahoo (YHOO) directly about the data collection and privacy implications of the deal, which is something the government should be doing.

So, to further get a glimpse into MicroHoo’s arguments, here is a set of important questions Chester asked then that were answered in a memo by the pair:

What specific data collection, interactive ad technologies and targeting applications will be used for search under the 10 year deal?

Today, Yahoo! collects data about Yahoo! visitors to our search product and uses that information to deliver products and to customize advertising and content, among other purposes described in its Privacy Policy. Microsoft and Yahoo! have each adopted industry-leading privacy practices with respect to search. For instance, under Yahoo!’s global data retention policy, Yahoo! anonymizes user log data within 90 days with limited exceptions for fraud, security and legal obligations. For search specifically, Yahoo! will convey certain data to Microsoft to fulfill a user’s search request. This includes the query and the IP address. Microsoft will anonymize this data sent to it by Yahoo! in accordance with Yahoo!’s announced data retention policies. Microsoft is only permitted to use search data that it obtains under the deal to operate and improve its search services and for no other purpose.

Will Yahoo’s behavioral targeting technologies for search still be used?

Yahoo! does not currently employ behavioral targeting in search. [Ed. note: Not completely true; see press release from Yahoo here on new targeting capabilities.]

Will any of Yahoo’s targeting apparatus be incorporated in any way with Microsoft Advertising, including with Bing?

No. This deal is limited to search, and as noted above, Yahoo! does not employ behavioral targeting in search.

Will search ads be sold by either Yahoo or Microsoft that provide for multimedia results, such as video?

Video advertising is still a small and growing area and as such, it’s impossible to predict what video ads in any form, including what a potential video search ad, could look like several years from now.

How may this deal affect the Yahoo! Newspaper Consortium?

The partnership Yahoo! has with the newspapers is broad and includes everything from content distribution, advertising cross sales, and technology platform development, to the display of Y! sponsored search listings on the newspapers’ own Web sites. Yahoo! Does not see the Microsoft deal as having an immediate impact on its newspaper consortium dealings. However, by combining its platform with Microsoft’s, Yahoo! and Microsoft will be in a position to offer the Newspaper Consortium and other web publishers more competitive bids for search syndication deals than either company can offer separately.

What ad research and development will be shared or done in common?

It is premature to speculate about the exact research that will be done, but the increased scale that will result from this search deal is expected to significantly enhance the ability to conduct meaningful research in a timely manner.

What rationale was used to embrace the 3 month data retention time? Why isn’t a shorter retention time adopted?

Yahoo! did an extensive analysis and review of all our data systems globally in 2008. Yahoo! arrived at 90 days retention as the right timeframe for most of its log file data that allows it to deliver the industry-leading products and services its users expect from them, but that also minimizes the duration of time Yahoo! holds data in identifiable form. It’s important to note that some of Yahoo!’s log file systems retain identifiable data for less than 90 days but none will hold data longer except for a limited number of specific systems dedicated to fraud and abuse and to meet legal obligations.

How do you envision Yahoo remaining viable when it no longer has a meaningful independent search service, given the need to have a coordinated search/display environment for digital marketing?

Future growth in online marketing will come from shifting spend from offline advertising to the online world. Offline advertising spend is disproportionately held by the largest advertisers and they control the vast majority of ad spend. Yahoo! has the leading position in branded advertising and Yahoo! also serves the needs for the growing market of performance advertising. So this deal with Microsoft enables Yahoo! to deliver a fully integrated solution that meets marketers’ needs at scale. Through this deal, Yahoo! retains a revenue stream in search without incurring the costs of developing a search platform or engine. Yahoo! will get paid an 88% TAC rate while eliminating significant expenses, enabling Yahoo! to invest more heavily in other areas of focus: amazing audience properties, web products, enhanced display advertising capabilities, and fantastic mobile experiences.

The former head of Google Health, Adam Bosworth, officially unveiled his much anticipated health-care start-up today at the Health 2.0 conference in San Francisco, showing off a site that will offer step-by-step and personalized “care plans,” as well as many kinds of online tools to better understand the data and tips on how to stay healthy.

Before he did so, BoomTown did a video interview with Bosworth this morning about Keas, which he founded with George Kassabgi.

As it turns out, Google Health is, in fact, one of Keas’s partners at launch, along with Microsoft HealthVault, Quest Diagnostics, Healthwise, DiabetesMine and Dr. Greene Pediatrics.

Bosworth said he hopes to attract many others to make innovative plans, much as developers make apps for smart phones.

It’s perfect timing, given the health-care debate now raging in Washington, which is about how people make health-care decisions–or, more precisely, how they usually do not.

Bosworth left the search giant in the fall of 2007 because he wanted to create a nimble and easy-to-use site to enable better engagement by consumers in their health care, especially around diet, exercise and how people manage long-term conditions, such as diabetes.

But, while a lot of people use the Web to get health information, they–as well as doctors–have been warier about using Internet tools to help them manage and understand their health.

Microsoft (MSFT), where Bosworth also worked for many years, released a health information management tool last week too, called My Health Info, although Keas is clearly much more robust and authoritative.

But Bosworth said the more, the healthier.

He also pointed out that he is working with Microsoft too, as well as Google (GOOG), given that the pair have the power to get big amounts of information about health care online.

Now, he added, sites like Keas will be key to allowing consumers to manage and interpret that mass of often confusing data.

Keas, which is backed by Atlas Ventures and Ignition Partners and has 25 staffers, is allowing free use of its care plans now, but will eventually charge for use of certain features.

Here’s the interview I did with Bosworth about all this and more, including the origin of the site’s unusual name:

]]> http://kara.allthingsd.com/20091007/keas-adam-bosworth-speaks-about-new-health-care-start-up/feed/ 0 http://kara.allthingsd.com/20091007/microsoft-yahoo-deal-regulatory-update-eh/ http://kara.allthingsd.com/20091007/microsoft-yahoo-deal-regulatory-update-eh/#comments Wed, 07 Oct 2009 14:31:36 +0000 Kara Swisher http://kara.allthingsd.com/?p=19165

Unlike the gripping back and forth of the fight over Yahoogle last year, the approval process for the search and online advertising partnership of Microsoft and Yahoo is chugging along slowly but surely as the Justice Department has deepened its investigation by reaching out to a broad range of publishers, advertisers, public interest groups and rivals for comment recently.

A month ago, the government agency lobbed in a “second request” for information about the deal the pair struck earlier this summer.

This kind of regulatory review is typical in deals of this magnitude.

But so far, there is no significant external challenge to the MicroHoo deal, even–according to many sources BoomTown has interviewed over the last week–from Google, the likeliest company to try to scuttle or, at the very least, slow down the deal.

“Is it worth fighting a big fight over?” asked one person close to the thinking of Google (GOOG). “Not really.”

Said another source, surveying the state of play: “It’s eh, kind of inevitable and not that interesting on a lot of levels.”

While none of the key constituencies wanted to comment or make predictions about the outcome of the regulatory scrutiny, most seem to agree that MicroHoo is more likely to be approved than not.

At the time the partnership was announced in July, execs at both Microsoft (MSFT) and Yahoo (YHOO) said a lot of investigation was likely from Justice, although they said they were also confident that it would be allowed go through by year’s end.

So far, several sources said, the key issue raised by the Justice Department has been whether the argument Microsoft and Yahoo are making–that they need scale to compete with Google–is valid or not.

Currently, Google has just under 70 percent of the search market in the U.S., while Microsoft and Yahoo together have about 28 percent.

Google has been arguing that huge scale is not necessary to be successful in the search ad market, although its execs have often said bigger is better when it comes to natural search and in spurring more clicks on ads.

Meanwhile, Microsoft and Yahoo have said they need all the firepower they can muster together to battle Google’s hegemony.

In a related concern, some regulators are worried–as they were when Google and Yahoo were trying to get approval for a similar deal last year–that any hookup of big players in the market will effectively take Yahoo out of the search business.

“With only three big players, going to two is not desirable to the government,” said one source. “Yahoo has to reassure everyone that it is focused on a sustainable business model beyond search.”

In a blog post yesterday, in fact, Yahoo said it was committed to search innovation.

In any case, most expect another month of investigation at least, although the lack of any loud voice in opposition could shorten that time frame.

And, added some sources, unlike with Yahoogle, there is not likely to be any kind of Congressional hearing on the deal.

Nonetheless, Microsoft, Yahoo and Google remain concerned that deals like this will lead to more focus on privacy issues, specifically around behavioral targeting.

That would be more a matter for legislators or the Federal Trade Commission and would probably come well after the deal is cleared and as part of a bigger topic.

Rep. Rick Boucher (D., Va.), who chairs the Subcommittee on Communications, Technology and the Internet, said he will consider consumer privacy legislation this fall.

Boucher led hearings on the subject this summer, and there might be more, especially as Web companies garner a lot of personal information from consumers with little oversight of what they do with those data.

If Boucher does call for hearings, he might want to replay this particularly boneheaded (but funny!) video from Yahoo’s U.K. ad staff, which classifies various Yahoo customer types–such as “disco-dancing heart surgeons from Nantwich”–as farm animals:

Please see this disclosure related to me and Google.

]]> http://kara.allthingsd.com/20091007/microsoft-yahoo-deal-regulatory-update-eh/feed/ 2 http://kara.allthingsd.com/20090903/fancy-bar-graphs-of-the-week-zero-surprise-the-youngs-love-new-media-more-than-the-olds/ http://kara.allthingsd.com/20090903/fancy-bar-graphs-of-the-week-zero-surprise-the-youngs-love-new-media-more-than-the-olds/#comments Thu, 03 Sep 2009 08:22:33 +0000 Kara Swisher http://kara.allthingsd.com/?p=18065

Every week, BoomTown is calling all those who make cool graphs, charts and stats done prettily about tech to send them to me pronto.

I am–truth be told–a secret stats fanatic. A bargraphaholic. Yes, even a closet pie-charter.

The last set of data I posted was a comparison of the share and consumer loyalty of the three big search engines–Microsoft (MSFT), Yahoo (YHOO) and, of course, Google (GOOG).

This week, in its annual survey of consumer technology attitudes and adoption, titled “The State of Consumers and Technology,” Forrester Research found that…wait for it, wait for it…the kids love the Internet!

As you can see in the chart labeled 4-1 below (click on the image to make it larger), new media beat traditional media for consumers younger than 40 years old, in terms of hours spent.

Still, the under-40 group also use traditional media, through both online and television channels, as you can see in the chart labeled 4-2, although TV is the most likely way everyone accesses most big-media offerings.

Well, except the Weather Channel, which leads in “cross-channel media use,” which means it is doing swimmingly in diversifying its distribution.

Lastly, in the 4-3 chart, as with the first chart, while Web sites like News Corp. (NWS) social networking site MySpace and its rival Facebook show up on the 10 most regularly consumed channels for the youngs, the olds are still mostly chomping on networks, newspapers and cable.

In other words, traditional media’s demographic is the group more likely to die first! But at least they’re loyal!

]]> http://kara.allthingsd.com/20090903/fancy-bar-graphs-of-the-week-zero-surprise-the-youngs-love-new-media-more-than-the-olds/feed/ 1 http://kara.allthingsd.com/20090817/more-local-heat-msnbccom-buys-everyblock/ http://kara.allthingsd.com/20090817/more-local-heat-msnbccom-buys-everyblock/#comments Mon, 17 Aug 2009 16:00:29 +0000 Kara Swisher http://kara.allthingsd.com/?p=17636

It looks like the local market is heating up even more, with MSNBC.com announcing the acquisition of Chicago-based EveryBlock.

MSNBC.com–a joint venture of Microsoft (MSFT) and GE (GE) unit NBC Universal–paid several million dollars for the “hyper-local” information site, which is up and running in 15 cities, including New York, San Francisco, Seattle, Chicago and Boston, sources said.

In June, Time Warner (TWX) online unit AOL paid about $10 million to buy Patch Media.

The New York-based start-up is a platform that does deeply localized coverage of communities on a range of topics, from announcements to news to events to obituaries. It is aimed at competing with local newspapers and other media.

EveryBlock takes a slightly different approach, scouring a mass of publicly available data in a variety of U.S. cities from a variety of public records–such as crime stats, building permits and restaurant inspections–and reassembling them into more comprehensible and geographically relevant news feeds, depending on what a user asks for.

It also pulls up related Flickr photos and information from Web sites like Yelp and Daily Candy and can get very granular, down to keeping track of what is happening on your block or neighborhood.

Maps are also deeply integrated into EveryBlock, as it was on an earlier effort–ChicagoCrime.org–of founder Adrian Holovaty.

The innovative little start-up has a tiny staff of a half-dozen, still calls itself a “project” on its Web site and was started with $1.1 million in grant money won from the Knight News Challenge, an annual contest held by the Knight Foundation.

MSNBC.com is the news channel for Microsoft’s MSN portal, whose execs are very interested in weaving more local results into the site, as well as into the software giant’s new search offering, Bing.

The aim of having EveryBlock data integrated, for example, would be to create a local information dashboard on MSN.

Here’s a screen grab of EveryBlock’s take on my zip code in San Francisco, below (click on the image to make it larger)–and a video interview with Holovaty on YoChicago in early 2008:

]]> http://kara.allthingsd.com/20090817/more-local-heat-msnbccom-buys-everyblock/feed/ 0 http://kara.allthingsd.com/20090810/cloudy-with-a-chance-of-computing-boomtowns-npr-debate-with-harvard-law-prof-zittrain/ http://kara.allthingsd.com/20090810/cloudy-with-a-chance-of-computing-boomtowns-npr-debate-with-harvard-law-prof-zittrain/#comments Mon, 10 Aug 2009 22:00:23 +0000 Kara Swisher http://kara.allthingsd.com/?p=17242

This morning, BoomTown was interviewed on the very terrific National Public Radio talk show, “On Point,” along with Harvard law professor Jonathan Zittrain.

The program, moderated by Tom Ashbrook on Boston’s WBUR station, was titled “From Desktop to the Digital Cloud” and dealt with the increasing move of data of all kinds online and into the so-called “cloud.”

In other words, eventually, a completely virtual life for music, photos, records and more, and the end of packaged software.

Zittrain, who was co-founder of the Berkman Center for Internet and Society, also wrote the scary-sounding book, “The Future of the Internet–and How to Stop It”–a kind of ladies-lock-up-your-daughters title it’s hard not to love for its chutzpah.

He also penned an op-ed piece for the New York Times recently, with another corker of a title: “Lost in the Cloud.”

Some of the “real dangers” of the move to cloud computing that Zittrain cited in the piece: Losing control of data, losing data itself, privacy issues, federal government overreaching, even more nefarious governments abroad and a damper on innovation.

Zittrain is a smart cookie, to be sure, although I did not really agree with him at all on the show about pretty much any of his concerns.

For some non-cloud-friendly reason, WBUR does not allow me to embed the show here; you can listen to it in its entirety by clicking here.

Also, here is a posted response by Zittrain after the conversation, in which I failed to assuage him. He remains “still worried.”

]]> http://kara.allthingsd.com/20090810/cloudy-with-a-chance-of-computing-boomtowns-npr-debate-with-harvard-law-prof-zittrain/feed/ 2 http://kara.allthingsd.com/20090807/boomtown-decodes-twitters-denial-of-service-blog-post-so-you-dont-have-to/ http://kara.allthingsd.com/20090807/boomtown-decodes-twitters-denial-of-service-blog-post-so-you-dont-have-to/#comments Sat, 08 Aug 2009 00:17:56 +0000 Kara Swisher http://kara.allthingsd.com/?p=17142

This morning, in a blog post titled “The Adventure Continues,” Twitter co-founder Biz Stone gave more of an explanation for the outage that the microblogging service endured due to a denial-of-service attack yesterday.

Fortunately, BoomTown can read between the lines in order to decipher the secret message herein!

Biz wrote: The Adventure Continues.

Translation: By “adventure,” I mean yet-another-friggin’-Twitter-birdie-crisis.

Considering all the fail whales, the stolen documents and now this, I would have to say we have now taken Time Warner (TWX) online unit AOL’s title as Internet company most likely to experience technical difficulties. Do not adjust your screens! Please stand by!

Biz wrote: In the past 24 hours, we’ve been contending with a variety of attacks that continue to change in nature and intensity. We’re working to restore access to apps built on the Twitter platform that were affected by defensive measures–there was some overcompensation on our part as we tune our system to deal with this scale of attack.

Translation: We’d like to blame this one on TechCrunch somehow, and are hard at work on another impolitic internal memo about how to do so that also manages to insult potential acquirers, such as Google (GOOG), Microsoft (MSFT), and our investors.

The reason we doused this crisis with extra amounts of weed killer is because no one will be able to accuse us of sitting by in our usual chill manner, which is exemplified by the official Twitter company motto: “Scoble dude, relax, it’s only 140 characters.”

Biz wrote: The ongoing, massively coordinated attacks on Twitter this week appear to have been geopolitical in motivation. However, we don’t feel it’s appropriate to engage in speculative discussion about these motivations. The open exchange of information can have a positive impact globally and our job is to keep Twitter services running reliably to the best of our ability.

Translation: And if blaming TechCrunch does not work, there is always Iran to point the finger at!

However, we don’t feel it’s appropriate to engage in speculative discussion of these motivations–mostly because it will just piss off the hackers more and they will crush our little technical operation like it is papier maché.

Which, let’s be honest, it is. Anybody got any spare Elmer’s Glue?

Biz wrote: As a reminder, no data or personal information of any kind has been compromised. Denial of Service attacks are a known quantity on the web and they are not going away any time soon. Nevertheless, we can and will improve system response to these assaults such that they don’t interfere with our normal, everyday Twittering.

Translation: No data or personal information of any kind have been compromised, except–of course–for Ashton Kuchter’s.

But, to be fair, that dude overshares like Perez and Paris Hilton combined and on steroids.

Not that we mind him tweeting pictures of his wife’s posterior, but he makes John Mayer seem shy.

Denial-of-service attacks are a known quantity on the Web, much the way our fail whale is.

Nevertheless, we can and will fail again, so there will be yet another spate of articles and blog posts about the indignity of life without Twittering to show just how indispensable we are.

]]> http://kara.allthingsd.com/20090807/boomtown-decodes-twitters-denial-of-service-blog-post-so-you-dont-have-to/feed/ 0 http://kara.allthingsd.com/20090807/the-outage-aftermath-louie-swisher-hearts-facebook-but-twitter-not-so-much/ http://kara.allthingsd.com/20090807/the-outage-aftermath-louie-swisher-hearts-facebook-but-twitter-not-so-much/#comments Fri, 07 Aug 2009 20:37:44 +0000 Kara Swisher http://kara.allthingsd.com/?p=17102

Like grandmother, like grandson.

Yesterday, I told my No. 1 son, Louie, that Twitter was down, after a denial-of-service attack.

He was–shall we say–not very sympathetic, as you can see in the video below.

Interestingly, Louie’s response was similar to my mother’s, Lucretia Carney, who mocked the San Francisco-based microblogging service at a gas station on the way to my interview with its founders at the seventh D: All Things Digital conference (see her video below too, as I continue to use my poor family as props in interviews).

It’s just anecdotal, of course, but it turns out their opinions actually track on several recent reports, the latest coming from Nielsen.

It showed that the 25-and-under crowd is definitely not the group adding to the site’s tremendous growth.

Using a panel of 250,000 U.S. Internet users, the data (which you can see above–click on the image to make it larger) said that there are fewer young people on Twitter than on the Web itself–16 percent versus 25 percent.

Older people, like my mother, are also a smaller group, at 20 percent of Twitter. The biggest and fastest-growing group on Twitter is 25 to 54, just like me, an obvious fan of the service.

An earlier anecdotal report from Morgan Stanley (MS) posited similar findings.

Facebook, of course, is hugely popular with young people. And, with Louie, who–even at the tender age of seven years old–wants me to set up an account now on the Silicon Valley-based social networking site, to be able to upload video, photos and more.

Check out his and my mother’s thoughts on the subject:

]]> http://kara.allthingsd.com/20090807/the-outage-aftermath-louie-swisher-hearts-facebook-but-twitter-not-so-much/feed/ 0 http://kara.allthingsd.com/20090728/microsoft-yahoo-deal-struck-will-be-announced-within-next-24-hours/ http://kara.allthingsd.com/20090728/microsoft-yahoo-deal-struck-will-be-announced-within-next-24-hours/#comments Tue, 28 Jul 2009 22:27:27 +0000 Kara Swisher http://kara.allthingsd.com/?p=16575

Multiple sources close to the situation said that the online search and advertising deal between Microsoft and Yahoo has been struck and will be announced within the next 24 hours.

While it is not clear if the actual papers have been inked or approved by the boards of the two companies, sources said it was a formality and that negotiations are complete on a deal that is less sweeping than originally conceived.

In any case, making any partnership is likely to be the cause of much relief at both companies, since they have been trying–without success–to join together to mount a better offense in the sector against the dominant Google (GOOG).

According to sources, as had been previously reported by Advertising Age, there will be no upfront payment to Yahoo, with the focus on a revenue share between the two companies.

Sources said Microsoft search technology will be used on Yahoo sites, although it is not clear if it will be branded as “powered by Bing”–Microsoft’s handsome and innovative new search offering–or not.

In addition, sources said Yahoo would still sell search ads on its sites and on Bing too, although Microsoft’s AdCenter advertising sales technology will be underneath it.

(Panama, we hardly knew ye!)

This makes the deal much smaller than ones previously envisioned, which included Microsoft taking over both Yahoo’s search and its text-based search advertising businesses in exchange for large payments and guaranteed revenue.

Previous discussions also considered Yahoo selling display advertising for Microsoft’s MSN consumer sites.

Doing its own search ads means the cost savings to Yahoo will be less than previously estimated, but it also solves its longstanding issues about control of relationships with advertisers and also of consumer data.

Still, once in place, it is a significant deal in the Internet arena, bringing together two of its most powerful players in an unusual alliance that has been long in coming.

“After three years of trying, it looks like it finally stuck,” joked one person familiar with the situation about the Silicon Valley icon and the Redmond, Wash., software behemoth finally joining together.

And, in fact, Yahoo (YHOO) and Microsoft (MSFT) have been engaged in talks about a variety of partnerships over the years, as well as in a hostile takeover struggle that soured their relationship badly.

But, under new Yahoo CEO Carol Bartz, the companies have re-engaged in recent months, discussing a deal to share search and online advertising technology.

A spokesman for Microsoft declined to comment, as did a spokeswoman for Yahoo (even though BoomTown asked: “Pretty please?”)

The Wall Street Journal just posted a similar story on the deal coming to fruition, as did Advertising Age.

Both posts noted that Yahoo and Microsoft were concerned about regulatory approval, although with Google’s share at close to 70 percent in the search market, it would be hard to argue that their union hinders competition.

Together, Yahoo and Microsoft’s share is about 30 percent.

A search and advertising partnership between Yahoo and Google failed to gain regulatory approval last year–and thank goodness for that!

Yahoo and Microsoft will likely try to paint this one as a counter to Google’s power and hope such an argument will be supported by advertisers, who have long wanted a stronger second-place competitor to Google.

]]> http://kara.allthingsd.com/20090728/microsoft-yahoo-deal-struck-will-be-announced-within-next-24-hours/feed/ 2 http://kara.allthingsd.com/20090717/exclusive-msn-preps-for-major-renovation-focusing-on-five-areas-as-it-does-less-better/ http://kara.allthingsd.com/20090717/exclusive-msn-preps-for-major-renovation-focusing-on-five-areas-as-it-does-less-better/#comments Fri, 17 Jul 2009 22:54:48 +0000 Kara Swisher http://kara.allthingsd.com/?p=15915

The edging-ever-closer-to-consummation deal talks with Yahoo about an online advertising and search partnership and the aggressive marketing of its new Bing search service aren’t the only things going on for Microsoft’s online services business these days.

MSN, Microsoft’s online portal, is also preparing a major redo of what U.S. and, possibly, international consumers will see, as it doubles down on five key content verticals, while cutting back on others.

In a new focus that will start to be apparent in the next month, MSN will heavily add to its News, Sports, Finance, Lifestyle and Entertainment offerings, weaving more data from Bing into the mix.

“It’s a decision to make it so MSN does less better,” said one source close to the situation. “So there will be a focus of attention on a smaller number of categories in which we can be either #1 or #2 in, rather than #4 or #5.”

And despite big traffic, that has been the rank Microsoft (MSFT) has achieved for a lot of its vertical categories. It competes against the dominant Yahoo (YHOO) and also Time Warner (TWX) online unit AOL, as well as a range of independent sites.

The refurbishment is being led by Scott Moore, the former Yahoo media exec who came back to Microsoft earlier this year to help juice its prospects.

That does not mean Microsoft is abandoning noncompetitive arenas, such as tech, though. Instead, its offerings in those verticals will be more automated, less original, using content from many partners, and also will rely on mixing in shopping and data from Bing.

“It is not rip and replace,” said another source. “It is putting a lot of scale where we can compete best and using technology tools to help elsewhere.”

In fact, the idea of linking content properties to search in a push-and-pull manner is a strategy that both AOL and Yahoo have also been honing, especially since their own highly trafficked sites are the prime ways they have grown search, and vice versa, on content.

Bing has taken a very interesting niche approach to search, aiming to provide a richer experience in key verticals, like entertainment and travel, in order to differentiate its offering from search behemoth Google (GOOG).

In an interview with paidContent last month, MSN Corporate VP Erik Jorgensen signaled some of the changes now coming, discussing the cleaning up of its homepage, more tightly integrating Bing and MSN, making it easier to share on social networking sites, focusing content and allowing users to even customize it.

]]> http://kara.allthingsd.com/20090717/exclusive-msn-preps-for-major-renovation-focusing-on-five-areas-as-it-does-less-better/feed/ 1