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Facebook will outgrow Google, says analyst :: StrategyEye Digital Media

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Facebook will outgrow Google, says analyst :: StrategyEye Digital Media
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Facebook will be larger than Google by 2012, according to Ross Sandler, an analyst at RBC. He also notes that approximately one fifth Google's visitors come to the site directly after visiting Facebook, suggesting that the social network could profit from integrating a search function into its platform.

Though the two internet giants have tended to complement each other in the past, a number of market watchers are taking Sandler’s analysis to imply a forthcoming rivalry between Google and Facebook.

The flash point could well be web search. Knowing that a fifth of its visitors go directly to Google may suggest to Facebook lucrative business opportunities in integrating Google search, or a rival search engine, into its platform. This would keep users on Facebook for longer and could help the network cash in on profitable search advertising.

It is unclear whether the option of integrating with Facebook will appeal to Google and. As Google is clearly ahead of Facebook in terms of eyeballs, the search giant is in the position to call the shots. This could mean Facebook will look elsewhere for a search partner.

One option is struggling search giant Yahoo!. Rumours have circulated in the past year about a possible search deal between Yahoo! and Microsoft, but it may be that the most fruitful partnership for Yahoo! will be with Facebook. As the world’s leading social network, with a user base rapidly approaching the 200m mark, Facebook is an appealing partner for any internet business.

Another possible tie-up could be between Facebook and Microsoft. The software giant already holds a stake in Facebook and could well have its sights on a wider partnership deal. Microsoft is currently working on an improved ...

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    • 9 months ago


      I doubt that will happen. Seems to me that Facebook is starting to get a ton of negative feedback. Myself (and many of my friends) are already trying to find an alternative. While there is none that specifically mimics the features of Facebook while keeping integrity, I'm finding myself enjoying the more subtle (yet personal) approach of keeping in touch manually with those people that I deem worthy of keeping in touch with.

      It means a lot more to call someone and wish them happy birthday because you remembered than to be reminded on FB and then poke them.
    • 8 months ago


      Heh. I bet you could find an analyst report from a couple of years back that says similar things about MySpace rather than Facebook. These social networking sites have historically been transiently popular.
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