Operation Google: Microsoft Declares a Search War

Yesterday, Bill Gates announced the launch of Search Server 2008 to rival Google's (GOOG) Search Appliance. The software allows users to search files and documents inside their corporate network. However unlikely the expensive Google Appliance, which is a box with software, Microsoft (MSFT) will offer the service as a free software download. Yes, you heard that right! No hardware, no packaged software. It will be a web offering featuring online administration, reporting and provisioning features.

Essentially, Microsoft is beating Google at it own game with this web offering. Yesterday's announcement targets Google's weak spot - Enterprise. It is also interesting to note that for the Search Server, Microsoft has adopted Google's traditional sales model, which does not require customers to buy expensive hardware, lock-ins, and Google has adopted Microsoft's style tactics with the Google Appliance.

All Paths Lead To Search

A couple of weeks ago, Microsoft announced the purchase of FAST Search, an enterprise search specialist. The thinking is that if customers start using Microsoft's search products on their network they might start using Microsoft's internet search and advertising products.

Last week, Google announced a web site publishing tool called Google Sites for enterprise users to set up and run their team collaboration similar to SharePoint, which allows workers to share documents and plan projects on secure web sites.

If Microsoft gets traction on the enterprise side, that translates to search traffic on Live.com and ad dollars on adCenter. Then Microsoft would have made inroads into Google's lucrative advertising empire. Google will not sit on the side lines either. Operation Google has begun - the search war is under way.