UPDATED 14:24 EDT / SEPTEMBER 07 2011

Microsoft Extends Bing-Twitter Relationship, Loses Search Exec

Even as Yahoo sacked Carol Bartz in its latest CEO shuffle, Microsoft loses another top executive, too.  Powerset, the natural language search company, was acquired by Microsoft for $100 million three years ago to strengthen Bing.  With the acquisition, CEO Barney Pell came with the package.  But Pell just joined the list of Microsoft top execs that left the company after just a few years of being with them.

Pell announced his departure from Microsoft in his Twitter account.

“Yesterday was my last day at Microsoft. I’m now back to full-time angel investor and parallel entrepreneur!” – @barneyp

It seems as though Microsoft is getting rid of top execs who aren’t exactly important to the company to make Microsoft better and more competitive.  With all the acquisitions they’ve made over the years, top execs of the acquired companies came with the acquisition which led to the company having too many top execs that really don’t do much except have meetings.

With Pell’s departure from the company, Microsoft is already moving on and as seen in a series of tweets between Twitter and Bing, the two are extending their partnership.  The tweets were cute messages from both which was a bit weird, especially if you imagine Bing as someone much like Pell.

Bing:  Hey @Twitter. ^bb

Twitter: @Bing What’s up?

Bing: @Twitter Been thinking about our last 2 yrs together. Instantly tapping into the wisdom of the Twitter community. Good times. ^bb

Twitter: @bing Totally! Search w/o Twitter = old news. You & @MSN are amazing at using Tweets to make search better & help people stay in the know.

Bing: @Twitter Let’s say we stick together and do bigger and better things? ^bb

Twitter: @bing We’re in. Can’t wait for what comes next.

Originally, the two signed a two-year contract that makes tweets searchable by Bing.  Though the exchange of cutesie tweets happened, neither confirmed nor denied if the contract would be extended for another two years.  Rumor has it, Twitter is asking for another $30 million in licensing fees plus more control over Bing’s result and interface with regards to search results from Twitter.  No news yet if Bing agreed to Twitter’s terms.

Google and Twitter also had a similar deal with Twitter, but the contract wasn’t renewed.


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