Microsoft and Yahoo have officially joined forces to work as a single search engine to challenge Google. Yahoo will now use Microsoft's bing search for all of its sites.
Many news outlets are calling this a huge game changer and a bold move by Microsoft to disrupt Google's success. While I am surprised at Microsoft's recent changes in their company attitude, the coming Microsoft stores and PC commercials challenging Apple, I just don't see this as a real threat to Google.
Google hasn't gotten to the top of the hill and just rested, they're constantly innovating and producing amazing new services. With years of that innovation, all of which has been free to the public, they've built an immense, loyal following. Ultimately people will use the superior product and bing has incorporated some interesting features, such as their in-search video, but at best I think this will simply be a challenge to Google to innovate at a faster pace. They'll need to produce either similar features or better, and given Google's track record I can't see them letting us down.