How much money do you think it would take to compete with Google
First, Accoona is trying to use a two-pronged attack against Google, coupling its own artificial intelligence technology and exclusive content through a partnership with the Chinese government to allow Accoona to search the database of Chinese businesses. Combining Slick Willy and the potential to get inside the huge Chinese economy isn't a bad publicity stunt. Without traffic, the revenue won't flow.
Second, the technology doesn't work very well. Try it for yourself. I did a search on Nike
Third, Google should not be Accoona's sole focus. Between Google, Yahoo!
I'm also skeptical of the Chinese government. The Chinese government knows how to use its leverage to get what it wants, and what it wants is foreign investment capital and a place to ship its products. So who's to say that the government agency's database isn't just a bunch of hype to market the Chinese economy? Always remember, caveat emptor.
Even if you offered me $70 billion, I am not sure I could effectively break into the search engine business. To me, Accoona's late entry is a sign that the teams headed for the playoffs have been named and the competition will now begin in earnest. But maybe I'm wrong. As Rick Aristotle Munarriz pointed out, maybe it's just starting to boom. Either way, there's some tough competition down the road from the big guys in the search engine business.
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Fool contributor David Meier owns shares in Nike but not in any of the other companies mentioned.