The “giant” computer manufacturer Dell and the internet search service provider Google have reached an agreement to pre-install Google’s software on Dell computers. This event is considered a significant challenge for Microsoft.
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| Source: Cbsnews |
Dell computers will feature Google’s software, which includes personal computer applications, a Google toolbar, and a co-branded homepage for both companies. Both firms will generate revenue from this deal, although specific details have yet to be disclosed. Google’s CEO, Eric Schmidt, mentioned that this is just the first of several agreements to come.
A New Turning Point
Speaking to a group of investors at the Goldman Sachs Internet conference, Schmidt stated, “This collaboration may bring even more.” Dell, on the other hand, did not comment.
The agreement between the world’s largest private computer company and Google follows the announcement that the two companies would install Google’s software package on Dell computers in February.
After this announcement, rumors circulated that the two companies would install Google software on 100 million new personal computers after Google had outperformed competitors like Microsoft and Yahoo.
This agreement could mark a significant turning point for Google and pose a serious threat to Microsoft. Microsoft and Google represent different business models.
Instead of selling software for profit, Google generates revenue by selling advertisements to companies that want to reach customers who typically use free products.
Microsoft views this type of software as a major threat to its business situation.
