CONSUMER CONFIDENTIAL

Columnist roots for Microsoft. Huh??

If there's a sentiment that crops up with frequency in this column, it's that bigger is seldom better when it comes to how businesses treat consumers.

So I say today, with no small surprise and puzzlement: Go get 'em, Microsoft.

Google's great, don't get me wrong. I can't think of any other company that's deservedly succeeding through a combination of superior products, unbridled innovation and breathtaking vision.

Google is Apple, but much more so.

Yet as Google prepares to muscle its way into the wireless telecom market, and as it continues its virtually total domination of the Internet, I can't help but think that what this company needs more than anything else is some serious, in-your-face competition.

So my feeling is that Microsoft's nearly $45-billion offer for Yahoo is a good thing for the tech world and a good thing for consumers. Until, that is, it's not.

"It's very difficult to figure out upfront when these things are good for consumers and when they're bad," said Steve Morrissey, an antitrust attorney at the Los Angeles office of Susman Godfrey.

"Trying to figure out where these companies will be in five or 10 years is exceedingly difficult," he said. "It's really hard in such rapidly developing markets to know where you draw the line."

I guess it's like porn -- you know it when you see it. Google is a company that's become absurdly powerful in an absurdly short amount of time. Ten years ago, Google founders Larry Page and Sergey Brin were still cobbling together their computer gear in Page's Stanford University dorm room.

Now they're billionaires, and Google all but owns the Web. According to market research firm Hitwise, Google accounts for about 55% of all Internet searches, with Yahoo trailing at 17% and Microsoft's MSN a distant third at 5.2%.

Google is among the leading bidders -- though it remains to be seen how serious -- for a multibillion-dollar chunk of prime wireless bandwidth that could make the company a major player in cellphone circles. And it's not that farfetched to imagine the company's YouTube video service evolving into a 21st century TV network.

So how do you keep such a dominant force focused on making customers happy? You make sure it has robust rivals. And at this point, it looks like a merged Microsoft-Yahoo may be our best bet for giving Google a run for the cyber-money.

"It's probably inevitable," said Patricia Seybold, a business consultant and author of the book "Customers.com."

"But why do I have such a sinking feeling about this?" she asked.

Seybold pointed out that the best scenario for consumers is always a diverse marketplace with plenty of players. A Microsoft-Yahoo combo might be able to stand up to Google, but what then?

Are we now looking at a replay of what's happened in the telecom and cable industries, where the market is dominated by a relative handful of heavyweights and consumers frequently have to choose from only two or three service providers?

"Customers really don't trust the Microsoft brand," Seybold observed. "But they're also becoming suspicious of the Google brand."

Moreover, a supercharged Microsoft-Yahoo only turns up the heat for Google to go on its own shopping spree. So what happens next? Google buys Disney? Microsoft-Yahoo buys CBS? Google-Disney buys Verizon? Microsoft-

Yahoo-CBS buys AT&T?

Featured Stories

CTnow is using Facebook comments on stories. To comment on ctnow.com articles, sign into Facebook and enter your comment in the field below. Comments will appear in your Facebook News Feed unless you choose otherwise. To report spam or abuse, click the X next to the comment. For guidelines on commenting, click here.

CONSUMER COLUMNISTS

Kevin Hunt - The Electronic Jungle

Kevin Hunt: Review: Grace Digital Bluetooth Amplifier - April 18, 2014 - If you and Bluetooth are like this (fingers crossed), the next step in your relationship could be a little trinket like either of Grace...

Gail MarksJarvis

Author: Financial crisis cemented dollar's global role - April 23, 2014 - In contrast to just a few years ago, you don't hear the shrill cry over the dollar much anymore.

David Lazarus

Cheerios maker gets bowled over - April 21, 2014 - General Mills, maker of Cheerios and Wheaties, thinks it deserves credit for reversing itself after quietly trying to strip customers of...

Korky Vann

Vacationers Can Travel With Lighter, Smarter Luggage This Season - April 20, 2014 - Vacation season is just ahead, and for many of us, that means hitting the road or flying off in search of adventures. But if your travel...

Advertisement

...