Microsoft’s search engine continues to show a deceleration in growth.
The quarter search advertising growth dropped, to 6% YoY (7% Constant Currency).
It is clear, from the numbers, that despite continuing concerns about Google’s search monopoly, Microsoft has not been able to put themselves forward effectively as an alternative yet. While revenue is still growing (Microsoft says due to increased revenue per user), there is a clear trend of slowing growth.
One possible source of turn-around would be the release of Microsoft’s new Edge browser, which may prove more popular than the old Edge and could, therefore, drive more Bing traffic, similar to how Chrome drives Google searches. Microsoft may also get a boost from increased adoption of Windows 10, which has numerous hooks into Bing.
It remains to be seen of these will have material impacts in the future.
See Microsoft’s full earnings results here.