Ask.com and Ye Shall Receive

Recs

14

You knew that Ask.com wasn't going to stay out of the limelight for too long. The past few weeks have seen its three largest search-engine rivals -- Yahoo! (Nasdaq: YHOO), Google (Nasdaq: GOOG), and Microsoft's (Nasdaq: MSFT) MSN.com -- announce beefy digital marketing acquisitions.

Ask.com parent IAC/InterActiveCorp (Nasdaq: IACI) isn't immune to opening its pocketbook when it has to in making a deal happen. However, this time the investment in its fledgling search engine involves undergoing an organic makeover and making a bigger splash in video search functionality.

The new Ask.com search result pages aim to do it all. Depending on the search terms, you'll be treated to website entries, snapshots, related recent news, and video clips on the same page. Ask.com is calling the new three-panel feature Ask3D.

With just 5% of the search engine market, IAC has no problem taking chances. It did that when it introduced thumbnail snapshots of search-result landing pages. It did that when it sent Jeeves, its butler avatar, off to retirement. Not all of this week's enhancements are original. Google will also lump news entries and snapshots into some of its searches. Still, you can't blame Ask for trying.

In another deal announced yesterday, Ask is teaming up with blinkx in a revenue-sharing deal that will find blinkx providing video-search functionality on the search engine. Ask.com's larger rivals run popular video-sharing sites, so IAC is smart to team up with a proven partner instead of starting from scratch here.

The press releases for Ask3D and the blinkx deal were issued at the same time yesterday. Is this a one-two punch to get noticed? Perhaps, but Ask's small size is also its advantage. If audiences take to the enhancements, even a small market-share nibble can go a long way when you command just 5% of the market.

Yahoo! is a Stock Advisor recommendation. Microsoft is an Inside Value selection. Sample either newsletter with a free 30-day trial subscription.

Longtime Fool contributor Rick Munarriz misses Jeeves, but he does not own shares in any of the companies in this story. He is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early. The Fool has a disclosure policy.

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

TD AMERITRADE
more info
ShareBuilder
more info
Power E*Trade

more info
Scottrade
more info
Fool Disclosure

DocumentId: 529127, ~/Articles/ArticleHandler.aspx, 11/9/2009 4:56:13 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

The Must-Read Story on Fool.com
Which Companies Can Buy It Like Buffett?

Related Tickers

11/6/2009 4:00 PM
GOOG $551.10 Up +2.45 +0.45%
Google, Inc. CAPS Rating: ***
IACI $19.27 Up +0.13 +0.68%
IAC/InterActiveCor… CAPS Rating: ***
MSFT $28.52 Up +0.05 +0.18%
Microsoft Corp CAPS Rating: ***
YHOO $15.94 Up +0.04 +0.25%
Yahoo!, Inc. CAPS Rating: **

Community: Investing Wiki

Term Of The Hour

Annual report: SEC regulations require that each publicly traded company issue an annual report to shareholders. The annual report contains certain minimal financial statements of the company for its fiscal year. These are the numbers that go into calculation of the earnings per share and the book value.

Want to learn more or edit this definition?
Click here to read more!