Eric Schmidt says Microsoft, not Apple or Facebook, is the biggest rival Google has right now.
"Bing is a well run, highly competitive search engine," Schmidt tells the WSJ's Alan Murray in a long interview. Meanwhile, it's "too early to tell," how big a competitor Facebook will be, he says. Apple is, "the extreme expression of a closed system, but also a partner."
While Bing is going right after Google's core business, we think Apple and Facebook are long term threats. Each of those companies are fighting for the next big thing.
The big danger for Google is that it has mistaken 'smart' for 'creative'. It has loads of smart people but very few genuinely creative people in SE terms. So it fires out a bunch of happy-clappy 'innovations' that may or may not have been well thought out. In the process, it irritates webmasters. And if webmasters turn against Google in favour of Bing, then Google really is in trouble. At the moment, the game could go either way.