All you need to know about it!

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All you need to know about it!

  1. 1. VS All you need to know about it!
  2. 2. GOOGLE…. <ul><li>Founded by Larry Page and Sergey Brin on September, 4 1998. </li></ul><ul><li>Initially started as web search engine. </li></ul><ul><li>Gradually diversified into other areas. </li></ul><ul><li>Now offers various products and services. </li></ul><ul><li>Known for its informal corporate culture. </li></ul>
  3. 3. <ul><li>No.1 in best companies to work at as per Fortune magazine. </li></ul><ul><li>Growth through a series of new product developments, acquisitions, and partnerships. </li></ul><ul><li>Its key to growth – “Innovation” </li></ul><ul><li>Most powerful Brand in the world as per fortune magazine & Most visited website on internet. </li></ul>
  4. 4. MICROSOFT….. <ul><li>Founded by Bill Gates and Paul Allen on April,4 1975. </li></ul><ul><li>Initially sold BASIC interpreters and then came to Operating System MS-DOS in 1980’s. </li></ul><ul><li>Now into Windows series of OS and other hardware products. </li></ul><ul><li>Monopolistic behavior in past. </li></ul>
  5. 5. PRODUCTS <ul><li>Google </li></ul><ul><ul><li>Google Search </li></ul></ul><ul><ul><li>Gmail </li></ul></ul><ul><ul><li>Picasa </li></ul></ul><ul><ul><li>Youtube </li></ul></ul><ul><ul><li>Chrome </li></ul></ul><ul><ul><li>Orkut </li></ul></ul><ul><ul><li>Android </li></ul></ul><ul><ul><li>Google Earth </li></ul></ul><ul><ul><li>Google desktop </li></ul></ul><ul><ul><li>and the list continues…… </li></ul></ul>
  6. 6. MICROSOFT <ul><li>Softwares and Operating Systems </li></ul><ul><ul><li>Microsoft Windows </li></ul></ul><ul><ul><li>Microsoft Office </li></ul></ul><ul><ul><li>Microsoft Servers </li></ul></ul><ul><ul><li>Windows Developer Tools </li></ul></ul><ul><ul><li>Microsoft Expression </li></ul></ul><ul><ul><li>Business Software </li></ul></ul><ul><li>Entertainment </li></ul><ul><ul><li>X-Box 360 </li></ul></ul><ul><li>Hardware </li></ul>
  7. 7. CORE COMPETENCY <ul><li>Google is the market leader in search engines (70% market share) followed by Yahoo! </li></ul><ul><li>97% of its revenues ($ 5.5 bn*) comes from advertising </li></ul><ul><li>Whereas </li></ul><ul><li>Microsoft is the market leader in Operating System and Office Software. </li></ul><ul><li>It generates most of the revenues ($60 bn*) by these softwares. </li></ul><ul><li>* For 2008 </li></ul>
  8. 8. TODAY’S SCENARIO <ul><li>The two most powerful companies in digital technology </li></ul><ul><li>Openly invading each other’s most lucrative markets </li></ul><ul><li>Google has entered into office productivity software and computer operating systems, which Microsoft makes. </li></ul><ul><li>Microsoft has invaded the domain of Internet search, which Google dominates. </li></ul>
  9. 9. <ul><li>Most of the products made by Google (except search engine) give losses but still it does so deliberately </li></ul><ul><li>Why? </li></ul>
  10. 10. <ul><li>To keep Microsoft on its toes……. </li></ul>
  11. 11. PRODUCT COMPARISON <ul><li>PowerPoint </li></ul><ul><ul><li>Google Presentations work only with an Internet connection. </li></ul></ul><ul><ul><li>Whereas </li></ul></ul><ul><ul><li>Microsoft presentations can work on plane </li></ul></ul><ul><ul><li>Google Presentations can be edited at the same time, from different computers. </li></ul></ul><ul><ul><li>Whereas </li></ul></ul><ul><ul><li>Microsoft presentations cannot do so. </li></ul></ul>
  12. 12. WHY DID GOOGLE DO SO…… <ul><li>Despite having collaboration with Firefox it launched Chrome </li></ul>
  13. 13. MARKETING STRATEGY <ul><li>Microsoft </li></ul><ul><ul><li>Strengthen your client relationships through regular communication. </li></ul></ul><ul><ul><li>Build credibility and trust in your technology consulting services value. </li></ul></ul><ul><ul><li>Uncover unmet needs , new business and consulting sales opportunities. </li></ul></ul><ul><ul><li>Meet new prospects and clients through online marketing, advertising and referrals. </li></ul></ul>
  14. 14. SO WHAT DOES IT ACTUALLY DO <ul><ul><li>GTM- Going to market. </li></ul></ul><ul><ul><li>A web page or web site that differentiates its business. </li></ul></ul><ul><ul><li>Regular Mail and/or e-Newsletter communications that spike ideas. </li></ul></ul><ul><ul><li>Persistent Online Marketing with realistic goals suited to a budget </li></ul></ul>
  15. 15. <ul><li>Google </li></ul><ul><ul><li>Avoided traditional Marketing </li></ul></ul><ul><ul><li>Relied upon </li></ul></ul><ul><ul><ul><li>Public Relations </li></ul></ul></ul><ul><ul><ul><li>Business to Business online Advertising </li></ul></ul></ul><ul><ul><ul><li>Direct mail </li></ul></ul></ul>
  16. 16. <ul><li>Google developing OS(Chrome) </li></ul><ul><ul><li>Features </li></ul></ul><ul><ul><ul><li>Lightweight </li></ul></ul></ul><ul><ul><ul><li>suitable for small laptops and hand held devices </li></ul></ul></ul><ul><ul><ul><li>Boots faster </li></ul></ul></ul><ul><ul><ul><li>cheap </li></ul></ul></ul>
  17. 17. GOOGLE'S STRENGTH <ul><li>20,000 strong workforce </li></ul><ul><li>Agile </li></ul><ul><li>web search and advertising </li></ul>
  18. 18. MICROSOFT'S STRENGTH <ul><li>70,000 strong workforce </li></ul><ul><li>Operating System Pioneer </li></ul><ul><li>Office tools indispensable </li></ul><ul><li>Huge Profit margin </li></ul>
  19. 19. <ul><li>Deep pocket to support any contingency </li></ul><ul><li>ubiquity of Office </li></ul><ul><li>prominence of Windows </li></ul><ul><li>Businesses prefer Office </li></ul><ul><li>Almost all third party systems based around Windows </li></ul>
  20. 20. MICROSOFT CAME UP WITH BING SEARCH ENGINE <ul><li>Captured 7% market </li></ul><ul><li>Good customer experience </li></ul><ul><li>organizes its results in terms of relevant groups rather than a series of links </li></ul><ul><li>anticipate a person’s actual interests. Thus, a search for “cheap air fares to London” would also return hotels, restaurants, shops and theatre tickets in broadly the same price bracket </li></ul>
  21. 21. COMPETITIVE STRATEGY GOOGLE <ul><li>Google docs and spread sheet made free </li></ul><ul><li>Giving a taste of its office like tools to consumers </li></ul><ul><li>Free tables, spreadsheet hugely popular </li></ul><ul><li>Building a platform </li></ul><ul><li>Long term strategy : making these tools indispensable </li></ul><ul><li>Goes with its strategy of a new full fledged OS </li></ul>
  22. 22. MICROSOFT <ul><li>Well entrenched in OS market </li></ul><ul><li>Office products sole earner </li></ul><ul><li>Google giving sleepless nights </li></ul><ul><li>Came up with “bing” and new version of internet explorer </li></ul><ul><li>Bing captured 8 % market in short time </li></ul>
  23. 23. CHALLENGES FOR BOTH <ul><li>Both are wary of each other </li></ul><ul><li>Microsoft fears Google OS </li></ul><ul><li>Google fears Microsoft’s search Engines </li></ul><ul><li>Both are innovation driven </li></ul><ul><li>Growing demand for computer applications provide huge opportunity for both of them </li></ul>
  24. 24. THE BIGGEST IRONY <ul><li>Most of the Google’s applications run on Microsoft’s operating system </li></ul><ul><li>Most of the search results of Google lead to pages made in Microsoft office </li></ul>
  25. 25. FUTURE POSSIBLITY <ul><li>What if someday Microsoft OS stops supporting Google’s applications(Google will make losses in hundreds of millions everyday) </li></ul><ul><li>Google being kept at toe and forced to think about its own OS </li></ul><ul><li>Microsoft has a history of lawsuits( always gets around the rules and patents) </li></ul><ul><li>Google comparatively small – has less resources </li></ul>
  26. 26. FUTURE POSSIBILITY <ul><li>Microsoft fears Google foray in Operating System business </li></ul><ul><li>Microsoft wary of Google docs </li></ul><ul><li>Google a big player in advertisement </li></ul><ul><li>Google relatively more agile than Microsoft </li></ul><ul><li>Monopoly of Microsoft under threat </li></ul>
  27. 27. WHAT IS THE IMPLICATION OF THIS RIVALRY ?
  28. 28. IMPLICATIONS OF THIS RIVALRY FOR CONSUMERS <ul><li>Consumers better off </li></ul><ul><li>Innovation at its best </li></ul><ul><li>Price war good for everyone </li></ul><ul><li>Consumers get a taste of free software, for e.g. Bing, Google Docs </li></ul><ul><li>No monopoly </li></ul>
  29. 29. IMPLICATIONS FOR GOOGLE AND MICROSOFT <ul><li>Internecine war, bleeding both </li></ul><ul><li>Engenders feeling of insecurity </li></ul><ul><li>Promotes speculation </li></ul><ul><li>Good for the consumers in short run, but not in the long run </li></ul>

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