garyp
08-19-2004, 10:58 AM
Finding Google's next billion
Source: News.com
http://news.com.com/2100-1024_3-5314025.html
Stefanie Olson looks to the future. She writes, The company's valuation is partially based on expected earnings of more than $1 billion this year from sales of simple text ads pegged to keywords used in Internet searches. But ultimately, it's an estimation of Google's ability to innovate as the market it currently relies on peaks.
"There's a natural ceiling to the category," said Pete Petrusky, director of new media at PricewaterhouseCoopers, an auditor that tracks the online ad industry. "Paid search will continue to drive this medium in the near term because that's where the eyeballs are. But longer term, there's more opportunity for creatively driven formats," such as display advertising.
Google, whose founders railed against graphics-rich banners in its early days, has recently began supporting image ads for partner Web sites in what could be the first step toward shifting toward the brand-advertising business.
Source: News.com
http://news.com.com/2100-1024_3-5314025.html
Stefanie Olson looks to the future. She writes, The company's valuation is partially based on expected earnings of more than $1 billion this year from sales of simple text ads pegged to keywords used in Internet searches. But ultimately, it's an estimation of Google's ability to innovate as the market it currently relies on peaks.
"There's a natural ceiling to the category," said Pete Petrusky, director of new media at PricewaterhouseCoopers, an auditor that tracks the online ad industry. "Paid search will continue to drive this medium in the near term because that's where the eyeballs are. But longer term, there's more opportunity for creatively driven formats," such as display advertising.
Google, whose founders railed against graphics-rich banners in its early days, has recently began supporting image ads for partner Web sites in what could be the first step toward shifting toward the brand-advertising business.