Google Loses Search Market Share, Sign Of Omnious Future?

It may be inconceivable to many but Google has actually lost search market share by one percentage point while Yahoo gained in July.

ComScore Networks said Google’s share of all searches dropped a full percentage point to 43.7% during the month of July, while Yahoo’s share increased by 0.3 percentage points to 28.8%.

In June, ComScore said Google gained 0.3%, while Yahoo! also grew by 0.5%. via

After twelve months of steady gains from Google, a small drop in search probably confirms analysts fear that the company’s wide market lead could not continue to grow forever.

However I think Google’s continuous diversication in non-core areas is finally starting to take its toll on its core-competency - Search, while competitors are picking up. With competitors like Yahoo & Microsoft, not to mention the smaller players, it will definitely hurt your bottomline to reduce your focus in increasing your technological lead through innovations. If you visit webmaster forums you will find more and more people are giving up on Google’s search relevancy, which they contend is steadily declining. I think Google should immediately reassess its R&D priorities.