Microsoft to launch bid to beat Google

Microsoft is expected unveil a new internet search engine today, throwing down the gauntlet to Google less than three months after that company made its multi-billion dollar market debut.

The widely-tipped launch of the test version of the programme marks the first shot in what is likely to be a protracted battle between the pair for the custom of those looking for material online.

Mircosoft executives have admitted they were slow to recognise the potential of the search function, both in terms of it being vital for net users and more importantly for the related ad revenues it generates.

At present Microsoft uses software from Yahoo! to power the search function on its MSN site, an embarrassing lapse for the software giant.

Industry estimates suggest Microsoft accounts now for about 14% of all searches, compared with about 50% for Google, whose name has become synonymous with looking for net-based material.

Microsoft's planned search salvo has featured in Press coverage this week, but Microsoft officials have declined to comment.

But at the same time Microsoft chief executive Steve Ballmer vowed to overtake Google.

"We will catch up, and we will surpass," Ballmer told the group's annual meeting.