Europe seeking to take on Google

Discussion in 'Stocks' started by crgarcia, Mar 11, 2008.

  1. Europe seeking to take on Google

    BRUSSELS, Belgium (AP) -- France has won approval to give $152 million to several companies hoping to build a European rival to U.S. internet search giant Google.

    French and German companies are attempting to create a European rival to search giant Google.

    European Union rules forbid governments granting money to companies if that would give them an unfair advantage over competitors.

    But the potential benefits of allowing France to fund technology group Thomson SA and 22 other companies working on the QUAERO multimedia search project outweigh any gain Thomson would win over rivals, the European Commission said Tuesday.

    QUAERO -- Latin for "I search" -- will develop technology for working with all platforms, including desktops, mobile devices and televisions.

    Its products will be sold to TV companies, filmmakers, post-production facilities and anyone who creates or uses audiovisual content.

    Just under half the funding for the five-year, $306 million project will come from the French government.

    The EU executive said the cash infusion aided an effort that might not otherwise win financial support, because the companies had divergent interests and their chances of success were uncertain.

    Thomson hopes the research will help it offer better Internet protocol distribution technology to deliver television programs or films online.

    The commission said the grant would not give Thomson market power because rivals will likely keep up their investment in research and development.

    It also cleared the German government to give $165 million to the German arm of the project, called THESEUS.

    That money will fund "icebreaker" companies -- Siemens, SAP, Deutsche Thomson and EMPOLIS, owned by Bertelsmann -- to kick-start research. The aid will later spread to smaller firms.

    Fragmentation of European research is a key reason cited for the region lagging behind the United States in information technology development.
  2. European dotcoms with a gov't bureaurcratic lean?

    Good candidates to short once the initial euphoria fades.
  3. yaawn no one gives a **** goog stock up 22 bucks today