Google Dominates as Users Move to Search for Navigation -- Hitwise

Google captured 65.1% of the U.S. search market in May U.S., up from 59.3% a year ago, according figures released Tuesday by Hitwise, an online market researcher. Yahoo was used for 20.9% of searches, down from 22%. Microsoft's MSN Search fell to just 8.4% of searches, down from 12.1%. IAC/InterActiveCorp's Ask.com captured 3.9% of the search market, down from 4.4%. The other 49 search engines watched by the company captured a mere 1.7% of the market. The company said search engines continue to dominate as the way internet users find their way to websites. Key categories such as health and news saw double-digit increases in the share of traffic that comes to them directly via search engines.

Sources: Hitwise, Dow Jones
Commentary: Semel's Departure Could Set Up Yahoo/Microsoft Merger • May comScore Ratings: Yahoo Maintains Lead, Amazon and Ask.com Move Up • Google Only Search Provider With YoY Gains
Stocks/ETFs to watch: Google Inc. (GOOG), Yahoo! Inc. (YHOO), Microsoft Corp. (MSFT), IAC/InterActiveCorp (IACI). ETFs: Internet HOLDRs (HHH), First Trust Dow Jones Internet Index (FDN)

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