In addition, as artificial intelligence (AI) continues to improve search engine capabilities, users may be looking for more direct answers, and publishers may struggle to monetize their content. The concern is that when users search for a topic on Bing, they are presented with a list of answers provided by the search engine, and they may not click on links to the publisher’s website to read more. In an interview with The Verge, Satya Nadella, CEO of Microsoft, did not clearly answer how publishers can get paid for their content.
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Microsoft Bing’s business model is causing concerns among publishers, as they are unclear on how to monetize their content through the search engine. Concern #2: Business ModelĪnother concern is how publishers profit from this model. Overall, the high cost of Bing is a significant challenge for Microsoft. This can lead to better user search experiences and more innovation in the search industry.
It can also make the search market more dynamic, giving users more choices and making the competition between Bing and Google more intense. Reducing costs will make Bing more competitive and enable it to invest in developing new features and capabilities that can better serve users. And that really matters because if you get to the scale of Google, you’re talking about spending eight to $20 billion a quarter just to run search results and display them. So there’s still quite a lot of work to go before this becomes truly economically competitive with Google. Bing needs to optimize its models to provide search results and efficiently use compute resources. Achieving this will require deep technical expertise in optimization and compute platform management. Bing needs to significantly reduce its costs and provide a more cost-effective search service to users to be competitive.Ī 10x cost reduction is necessary to make Bing more competitive. This higher cost of Bing has been a significant challenge for Microsoft in terms of being able to compete effectively with Google. The first primary reason is the costs associated with operating the new Microsoft Bing.Īccording to David Friedberg in the all-in-podcast, it has been estimated that running the GPT-3 model for chat GPT takes about 30 cents of compute for each result, which is about an order of magnitude higher than the 2.5 cents per search that it costs Google to present the results of a search query. In addition, he was known for focusing on data and analytics to improve the search engine’s relevance and performance.Īnd now, he is transforming the search experience with Microsoft Bing.īut if you look under the hood, you can see that Microsoft Bing + ChatGPT needs to make more business sense.
While overseeing the Online Services Division, he played a crucial role in shaping Microsoft’s search strategy and driving innovation within the Bing team. In 2008, he became the senior vice president of research and development for the company’s Online Services Division, which included Bing. He later worked on other projects, including developing the company’s online advertising platform and cloud computing offerings.
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He joined Microsoft in 1992 and initially worked on developing Windows NT, a family of operating systems. Satya has been involved with Bing before in his tenure at Microsoft.
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