Google Growth and Competition [Google Search blog]

intelliot · 11-02-2005, 04:39 PM

I'm starting the new practice of posting selections from gsearchblog here for discussions from GoogleCommunity users.

Quote:

I read through the many Google news articles of the day, and they're all saying the same thing:

Google is growing uncontrollably large, and they're competing more and more with Microsoft.

FT.com said that Microsoft is moving into Google's space. Bill Gates believes the future of software is in the web, and they're working on Windows Live and Office Live as proof to that. The main source of revenue continues to be online advertising, currently at $15 billion, expected to become $150 billion in 10 years. Mr. Ozzie says: "It's a big number, but it's not unreasonable."

Google Growth and Competition

What do you think?

Papadoc · 11-03-2005, 06:46 PM

I am making a nice bundle on Google from a variety of directions. While fun to watch the stock and collect the monthly paycheck, and while I don't think they are stoppable anytime soon, I have to wonder if it isn't ultimately the company that eats itself out of house and home. Google makes it 100% on ad revenue and for that, you have to have the good will of your clients. Right now, much revenue is generated from companies like AOL, SBC, Verizon, Monster, Ebay, and others in this league. If half what they say comes to fruition, they are going to be stepping on a lot of these toes.

Now for a time, it's kind of nice to have the 400# gorilla sleeping in your back yard. If you are doing well with Google, the world is your oyster. BUT… if they develop a business model that puts you in harm’s way or threatens to take your market share, how are you feeling towards that gorilla now? I’d suspect Barnes and Noble, Ebay, Verizon, Expedia, and Travelocity are now starting to check their war chest to find out how much fight they can put up and evaluating how much they want to be spending with Google. If they start eating their clients, how long before other clients start getting worried? Eating your competition is fine. But a company that starts eating their clients needs to be very careful.

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11-03-2005, 06:46 PM	#2 (permalink)
Papadoc Junior Googler Join Date: Nov 2005 Location: Charlotte NC Posts: 29 Thanks: 0 Thanked 0 Times in 0 Posts	I am making a nice bundle on Google from a variety of directions. While fun to watch the stock and collect the monthly paycheck, and while I don't think they are stoppable anytime soon, I have to wonder if it isn't ultimately the company that eats itself out of house and home. Google makes it 100% on ad revenue and for that, you have to have the good will of your clients. Right now, much revenue is generated from companies like AOL, SBC, Verizon, Monster, Ebay, and others in this league. If half what they say comes to fruition, they are going to be stepping on a lot of these toes. Now for a time, it's kind of nice to have the 400# gorilla sleeping in your back yard. If you are doing well with Google, the world is your oyster. BUT… if they develop a business model that puts you in harm’s way or threatens to take your market share, how are you feeling towards that gorilla now? I’d suspect Barnes and Noble, Ebay, Verizon, Expedia, and Travelocity are now starting to check their war chest to find out how much fight they can put up and evaluating how much they want to be spending with Google. If they start eating their clients, how long before other clients start getting worried? Eating your competition is fine. But a company that starts eating their clients needs to be very careful.

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