Google's Schmidt not surprised with Bing.com: 'They do this once a year'

Schmidt said in an interview with Fox Business Network that he is not surprised by Microsoft's attempt to shake up the search engine market.

"It's not the first entry for Microsoft. They do this about once a year," Schmidt quipped.

"And from Bing's perspective, they've got a bunch of new ideas but some things are missing. And we think that search is really about comprehensive and freshness. The scale and size of what we do, it's just difficult for them to copy that," he added.

When asked if Google felt threatened by Microsoft's massive advertising budget on Bing that is reported to be between $80 - $100 million, Schmidt quipped that he doesn’t "given the name (Bing)."

"We are spending all of our time on exactly what we've always done which is innovation. I don't think Bing's arrival has changed what we're doing, we are about search. We're about making search enormously successful by virtue of innovation."

Schmidt said that Google beat Yahoo to the top position in the search market because of hard work in search innovation, not because of spending a lot of money on ads.

"You earn it customer by customer, search by search, answer by answer. We beat those other competitors because we were focused on a comprehensive list, speed and freshness" he added.

Bing.com search market share to 11.1 percent between from June 2 to June 6 from 9.1 percent a week earlier, according to research group comScore Inc. However, it's still too early to tell whether Bing would manage to steal market share over the long-term.