Stones Thrown at Giant's Just Bounce Off

Ex-Google employees and an IBM refugee banded together to attempt to solve a problem, a problem that has not been solved by giant's Google or Microsoft. Cuil's approach to search, is that the internet has grown and that search provider's such as Google, Microsot, Yahoo and AOL have not grown their search databases to match it, leaving websites and pages from being indexed and unable to be searched.

The three founders, Costello, Patterson & Power set out on a quest to improve the search industry. They raised $33 Million in VC funds, created a huge uproar in the social media landscape and within weeks they are nearly off the radar.

Cuil came to the battle with a loud horn and a bunch of stones. They stormed the battle field with their horns blaring and began throwing stones at Google's massive castle walls. The problem here is the shear size of the footprint that Google holds in the market. Even if Cuil's goal was to replace MSN in the search industry, they will most likely run out of money before they make any real dent.

Google, Yahoo, and etc, despite an obvious deficit in search indexing, have already monetized their products, have created complimentary services and products that will allow them to maintain a much higher rate of loyalty from their customers. A newcomer such as Cuil will be hard pressed to gain the market share needed to allow them to monetize their products. If they cannot monetize, they cannot get cash flow, if they can not generate cash flow, the $33 million drips away and they will find investors reluctant to hand over more funds.

Cuil appears to have followed Jerry Maguire when he asked "Who's coming with me?". I wish the team at Cuil the best of luck and if they survive and prove to be successful, I have a feeling they will experience more low points than highs over the next few years.