Read more about it here: http://www.techcrunch.com/2008/04/17/liveblogging-google-q1-earnings-report—fears-were-overblown/ This happened thanks to their new adwords algorithm that suck all the blood from the advertisers. My adwords costs went up this year by 30%, and the same thing happened to a lot of my friends working in the same industry. What do you think? What was their secret strategy?
And I thought it happened because they lowered the AdSense Publishers CPM's. My CPM's used to be $18-20 and now they hover around $7.
Their search marketshare didn't grow by 40%. And the overall PPC market also is not up by 40%. It's only their revenue going up. I think that this is going to be a short term growth.. that will make their stock even lower on a long term..
When CPC for publishers decreases and adword cost for advertisers increases, Google's revenue is bound to increase. Screw google!!
I do like google... for providing me free traffic from my SEO efforts, And I do like adsense for monetizing some traffic/pages/websites that would be so hard to monetize it. But adwords is currently killing me. So I'm saying that Google is 70% good and 30% evil.