Search Engine Optimisation Web Log (BLOG)
Editor: Matt Paines

| This News Blog is dedicated to bringing news, information and innovations targeting the Search Engine Optimisation industry.

Hard times may drive innovation

The challenging economic climate is having an impact on even the biggest names on the internet, with search engine Yahoo announcing a 13% fall in revenues in the three months to June.

Revenues for the three-month period dropped to USD1.57bn (GBP953m) from USD1.79bn in the same period a year earlier although profits for the quarter edged up to USD141m from USD131m.

This did not prevent a 4% fall in the search engine's share price as Yahoo predicts income this quarter would range between USD55m to USD65m, from USD76m in the second quarter.

The fact that the company has since responded by announcing it was planning a range of initiatives aimed at fulfilling a vision to be the centre of people's lives online, illustrates the fact that hard times may drive a new wave of innovation on the internet.

Yahoo chief executive Carol Bartz said the company was backing its vision with important initiatives to create wow experiences for Yahoo users.

Technical and marketing developments aside, the ongoing economic downturn my also accelerate changes to the way companies themselves operated.

Laxmi Poruri, an analyst with Primary Global Research, is reported as saying that there are signs that Yahoo is trying to be more efficient.

What's more, a long muted deal with Microsoft may once again become a reality after Yahoo's attempts to form an alliance with rival search engine Google came to nothing.

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