Friday, December 8, 2006

Enter Microsoft - Another Player In The Online Bookselling Arena

Well, Microsoft is not really getting into the online bookselling arena - yet, but they did announce today that next week they will launch their Beta Book Search program. There isn't a lot of information available about it yet, but from the information that is available, it sounds like Microsoft is launching something similar to the Google book search program Froogle.

A distinct difference is that Microsoft is not intending to put all books in their system like Google initially announced. Microsoft intends to make available only books that are in the public domain and those specifically requested by publishers that are still copyright protected.

Where does all of this lead and why are Google and Microsoft interested in books? My suspicion - and it was arrived at by following the trail of money as it pertains to online bookselling - is that both will ultimately offer marketplaces similar to Amazon.com. Google has already launched Google Base and is allowing booksellers to list their Amazon.com inventory on Base, the next logical step is to develop a system for purchase/sale transaction completion through Base. Will Microsoft follow suit? Who knows, but they are about where Google was only a few years ago.

The big question for online booksellers is being answered right before our eyes. Yes, there is a future in online bookselling as evidenced by more heavy hitters getting into the game and making some big investments to be players. It seems to me that marketplace growth is exceeding the number of new online booksellers, and with growth at Google and potentially similar opportunities to be offered by Microsoft in the future, it seems a very good time to be an online bookseller or at least getting into the business.