I use Google all the time. From GMail to Google Desktop Search, I use a lot of the tools. But we all know that Google's revenue comes from advertising (Adwords). What I we didn't really comprehend until this week is that Google holds a lot of the cards in this.
Of the total $16 billion expected take for US online advertising, Google is projected to bring in $4 billion for itself, 65 percent more than last year. At $2.86 billion for Yahoo - not exactly chump change - the 1.4 percent decline in market share (lost almost entirely to Google) is telling.
Last year, advertisers spent an average $71.51 per user, a number expected to increase to $88.28 this year, according to eMarketer's estimates, and to nearly $100 per user by 2010. That pushes the expected spend to $21 billion in 2008, and to over $25 billion in 2010. This is all good news for Google, if its trend of dominance continues.
Looks like the smart money is on Google. And the smart players will find ways to leverage Google's Adwords/Adsense dominance.
Tags: Google, online advertising, Adwords, Adsense





