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Online news this week has been very Google-centric with the search giant dominating the big stories of the week.Yesterday Google announced its decision to possibly pull out of the Chinese online market altogether, a controversial decision given the size and online marketing potential of the Chinese market.
With 338 million online users and growing, China has the single largest online population for a country. Google’s bread and butter has always been pursuing revenue through online advertising off the back of its successful search engine. With a search marketing ad spend of 7 billion yuan ($1.02 billion) in China in 2009, Google has wanted a significant slice of those revenues.
However, Google has made a stand against the Chinese government on behalf of freedom of speech, and is willing to pull out of China unless it can offer unhindered internet search results. “We have decided we are no longer willing to continue censoring our results on Google.cn, and so over the next few weeks we will be discussing with the Chinese government the basis on which we could operate an unfiltered search engine within the law, if at all,” commented David Drummond, Google’s chief legal officer.
Google also announced this week its intention to sell advertising space in Street View, with advertisers being able to bid for space on real-life billboards which Google would replace in its virtual images presented in Street View.
The idea is a clever one, as Google seeks extra ways to squeeze revenue from its various services. Viewing online adverts whilst looking at a street view of say, the London Eye, is an interesting and innovative ploy from the search masters.
Online Advertising news posted by Lily Townsend on 13 January 2010
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