Tech Productivity

There has been recent buzz about Microsoft acquiring yahoo for $44.6 billion,sorry i mean it has bid for it and still the Microsoft awaits the reply from Board of directors of Yahoo!.After reading a lot of this stuff and analyzing a bit,i have come with a brief report why yahoo failed.

(1) First it ran in competition with google,the master of searches.I don’t mean it should leave the competition of searches and accept the defeat and crown google as the king but instead they focused much on search engine while they could have focused on its other areas like Hot jobs,geocities,yahoo messengers,games,autos,travel,music,etc.Google here is and will remain here for searches.Google has some best systems(algorithms i mean) for searches and its simple too.You just see the Google text and a search box on google’s page.It intends to tell the visitor that it has devoted itself for nothing but relevant search results.

(2) when yahoo was losing its search markets,it became hard on its search engine.It should instead get on with its other areas listed above rather than put all you its focus on securing search market and competing with google.When you know that you are losing your market over a specific niche,try your best and then also try to get secured in your other market areas.Now yahoo looses the search market and at the same time it is not faring comparatively well in other areas listed above.The acquisition yahoo made like geocities,hotjobs,music,etc. had lot of potential but it didn’t explore them fully as much they should and just kept focusing on search market while they could have earned the same much more revenue from the above listed services.

(3) As a result as you see now,the mail service of google-gmail is more preferred by webmasters than Yahoo mail because its simple to use.Over due course i believe gmail will take over the number of mail accounts than yahoo.Google has an attitude of discovering more applications and acquiring new niches by giving it quality service.Like Google Docs,gmail,etc. to name a bit.Google has consistently tried to stay abreast in social networking like orkut.Yahoo lacks this type of attitude though it has some fantastic services like Flickr,hi5 and especially photo site flickr.

(4) The acquisitions that google made like you tube,urchin tracker(google analytics) have been given quite an attention by google team.Like google developed you tube and analytics upto a great extent.

There are other reasons also why yahoo failed but i don’t say its a failure because its one of the most preferred brand worldwide.Like yahoo limiting YPN to USA only are some drawbacks of yahoo.Yahoo has already got into multi-niches where search engine is not the only asset it has.It has got some other greater assets than google and Microsoft or AOL.But it didn’t focus on it properly.

The title says ‘Why yahoo fails‘ Not ‘Why yahoo failed(it isn’t a failure although)’ I hope you understand the difference.

UPDATE: Yahoo says no to microsofts bid. Not a courageous step but something sensible which a company like yahoo! must do.Well,now i suppose it starts focusing on what i said.