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Monday, July 24

Yahoo! Looks to Dominate Mobile with New Motorola Deal

Yahoo! and Motorola have just announced a new deal that will see Yahoo! Go pre-installed on millions of Motorola handsets from early 2007. The new deal means that Yahoo! has now secured what could be market dominating deals with the world's top two mobile phone manufacturers.

Earlier this year, Yahoo and Nokia secured a deal that would see Yahoo!'s mobile services pre-installed on many of Nokia's new 60 series and "N" class multimedia phones.

Now that the ink has dried on the new multi-year Motorola deal, Yahoo! execs are surely excited by the dominant position the company holds on the mobile service market. Search nemesis Google must be ruing the new deal as Nokia and Motorola are clearly the dominant mobile handset players. With both tied into deals, Google will be forced seek out 2nd tier manufacturers, or tackle the mobile market from a different angle.

Search engines have been clearly focusing on the mobile market as more and more people now have internet access via their cell phones. Consumers want services on demand, and their cell phones are the modern day PCs and laptops.

Yahoo! Go is a software system designed to make Yahoo! services as easy to use on mobile phones and TVs as they are on computers. The software includes Yahoo! email, search and address book all in one place.

By having Yahoo!'s mobile software pre-installed on handsets, market leadership is almost a certainty in the short term. Just remember back to the impact of Internet Explorer being included with all windows based PC's.

Well, with the top mobile handset manufacturers tied to Yahoo!, the next roll of the dice will be by Google or MSN surely. As the end of 2006 draws closer, mobile search is sure to get a shake up, and at this stage Yahoo! are sitting pretty.

Posted by Rene LeMerle at 6:39 AM GMT

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