New search appliance by Google aimed at smaller businesses

• Google on Thursday began selling the Google Mini, a low-priced box for corporate intranet search.
• With the new product, the Mountain View, Calif.-based company hopes to broaden its search-appliance business to cater to smaller businesses with fewer documents and tighter budgets.
• The blue box, which plugs into a corporate intranet and searches up to 50,000 documents, was launched Thursday at Google.com for $4,995.
• By comparison, Google's seminal search appliance, introduced in 2002, starts at more than $30,000.
• In addition, the company will introduce an upgrade to its larger search appliance that will give customers new security controls, among other features.
• Appliance sales have been a sideline business for Google, which has made its name in Web search with simple and relevant results.
• Analysts estimate that sales from its enterprise search products make up only $50 million of its annual revenue, a fraction of its near billion-dollar advertising business.
• They've been focused on their core business," said Laura Ramos, vice president at Forrester Research.
• But that's poised to change, said Dave Girouard, Google's enterprise general manager.
• "While it's certainly small, we view it very much as a growing market.
• In terms of research and development and sales and marketing, you'll see us do more," Girouard said.
• Girouard said the Google Mini is in the sweet spot of the enterprise business because it will appeal to more companies that need search but are typically priced out of the market.