[ti:Microsoft, Google Take Aim at Each Other] [by:51VOA.COM] [00:00.00]This is the VOA Special English [00:03.21]Economics Report. [00:04.95]Google, the Internet search leader, [00:08.18]will now offer a free operating system [00:11.48]for personal computers. [00:13.84]The company hopes to loosen [00:16.08]Microsoft's hold on the market. [00:18.94]Microsoft Windows is on more than [00:22.49]ninety percent of PCs. [00:25.22]Google is basing the new product [00:29.50]on its Chrome Web browser [00:32.12]and the Linux open-source [00:34.23]operating system. [00:35.97]The Google Chrome OS is expected [00:39.77]to be available [00:40.95]in the second half of next year. [00:43.13]At first, [00:45.12]it will be aimed at netbooks. [00:47.29]These are smaller, [00:48.97]simpler machines designed mainly [00:51.96]for Internet use. [00:54.14]Google's chief executive, [00:56.44]Eric Schmidt, says Chrome will [00:59.05]pay for itself. [01:00.67]It will do that,he says, [01:03.19]by reducing the cost of computers [01:05.92]and increasing the number of people [01:09.03]who search the Internet. [01:11.34]Google earns most of its money [01:14.07]from sales of advertising [01:16.44]on its search engine. [01:18.43]But the recession has hurt [01:21.10]the advertising market. [01:23.03]And now Microsoft has targeted [01:26.08]Google's main business. [01:28.50]Microsoft says [01:29.75]its new Bing search engine [01:33.11]offers a better way [01:34.60]to search the Internet. [01:36.78]Ads for it make fun of [01:39.01]how Web searches often give people [01:41.88]a lot of useless results. [01:44.55]COMMERCIAL: "Find a cure [01:45.42]at bing.com. [01:46.54]It's not just a search engine. [01:48.03]It's the first-ever decision engine. [01:49.53]From Microsoft." [01:51.08]A Web traffic report last Friday [01:53.39]from StatCounter said Bing twice [01:56.81]passed Yahoo in usage [01:59.05]in the United States [02:00.85]in its first few weeks. [02:03.77]Yahoo is the second biggest [02:05.92]search engine. [02:07.16]But no one has the answer [02:09.47]to how much market share Bing [02:12.20]will claim from Yahoo or Google [02:15.25]in the long term. [02:16.68]Microsoft, [02:18.18]in its struggle against Google, [02:20.23]tried unsuccessfully last year [02:23.03]to buy Yahoo for more than [02:25.95]forty billion dollars. [02:28.06]Google and Microsoft are also [02:31.42]competing in business software. [02:34.28]Google offers Google Docs. [02:37.71]These applications are free [02:39.88]and on the Web. [02:41.44]They compete with Microsoft Office, [02:44.11]a hugely popular product. [02:47.66]Next year, [02:48.97]Microsoft plans [02:50.46]a new version of Office [02:52.39]that is both Web-based and free. [02:56.37]Also, Microsoft plans [02:59.17]to launch its seventh version of [03:01.59]Windows this October. [03:03.83]And the company is preparing [03:06.01]to open its own stores, [03:08.44]like its competitor Apple. [03:11.11]In fact, [03:12.17]some Microsoft stores [03:14.03]could open right [03:15.40]next to Apple stores [03:17.39]in the coming months. [03:19.45]The recession has cut sales of [03:22.81]PCs and software. [03:25.42]But there may be hopeful signs [03:28.09]for the industry. [03:29.71]Intel is the leading maker of [03:33.01]computer processors. [03:35.18]This week Intel reported that [03:37.92]its results [03:38.79]for the past three months [03:40.72]were better than expected. [03:43.21]And it predicted more good news [03:45.82]in the current quarter. [03:48.06]And that's the VOA Special English [03:51.17]Economics Report, [03:52.85]written by Mario Ritter. [03:54.65]I'm Steve Ember.