Search Appliance is increasingly being used by smaller firms that lack the capital or IT expertise needed for traditional enterprise search services. Google Apps is enjoying a wave of interest in hosted business software, which does not cost as much to implement as conventional, on-premise software. Microsoft and IBM are also developing this software-as-a-service (SAAS) approach. In a wide-ranging discussion, Schmidt also talked about how the recession will affect Google, netbooks and their search business rivalry with Microsoft and Yahoo.
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