Insider Chatter by Donna Bogatin

What was Terry Semel’s biggest mistake at Yahoo?

Many on Wall Street say it was not appreciating early enough the importance of Internet searching and particularly of Google. Yahoo gave Google its first big break, agreeing to use its search service. But then Semel realized just how lucrative Google’s core business had become….so says the New York Times.

Ask.com ought to heed the Yahoo lesson on how outsourcing to Google is risky business for the long term health and independence of a company and serves, above all, to further solidify Google’s number one position.

Ask.com launched its new ”3D” search interface earlier this month in a big effort to one-up Google’s recently debuted Universal Search.

Why then, does it not solely go the Ask.com ad sales route as well, instead of continuing to rely on arch rival Google for its revenues? Will Ask ever bite the who needs Google bullet and NOT renew the Google sponsored advertising links deal set to expire this year?

IAC Ask.com corporate parent CEO Barry Diller has promised to act within the coming months. Will he do the right IAC thing?

Jim Lanzone, Ask.com CEO says it is time to move beyond (Google’s) “ten blue links.” Isn’t it time as well then to move beyond Google’s “Sponsored Links”?

Just Ask Yahoo!

ALSO: How Google Triumphs Over Yahoo: Schmidt vs. Semel and Google, Yahoo: Europe Rules?

CONTACT DONNA BOGATIN