As noted previously, Microsoft's Internet strategy appears to be centered around building an advertising-based revenue streams. I personally find this to be a highly suspect strategy, as Internet advertising-based revenue models is clearly where Google reigns supreme, and for Microsoft to be a late entrant into the market using the same strategy as the market incumbent is an innovation no-no. I suppose time will tell.

This CNet article, though, sheds some more light on exactly how Microsoft will execute its strategy. The big idea? One word: personalization. From the CNet article:

Today's search ads make no distinction of who is doing the searching. "Right now, we're just firehosing everybody," [Microsoft executive] Bradford said. She pointed to how much more useful it might be for a cell phone carrier, say, to know who is searching for "cell phone." If the person is in their 20s, a ringtone ad might be a good idea, while for a 40-year-old, a pitch for a new rate plan might be a better bet.

Winfield said that Microsoft's demographic abilities are far from perfect, but says even information that is 25 percent accurate is useful.

"I'd still rather that, than the zero percent Google is giving," he said.

I don't Microsoft is breaking new ground with the personalization idea. Why, for instance, is Google rolling out all these other services, from a mail program to a chat client to desktop search and many other things? My guess: because they want to know you, because they want to personalize your search, and they want you store your information with them so that you have trouble switching to one of their competitors.

And of course, they've already rolled out the beginnings of personalized search.

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