Google Stock Crashes!
447.382 2.142 (0.48%)
Well it keeps going up and up, and the market experts say it will hit $600. Well these so called experts might know all about market cap and P/E ratios, but do they know what CPC is?
My prediction for 2006...
Why? First off, Google has all of their eggs in one basket. 97% of their revenues are generated from one thing. Advertising. Google adwords and Google adsense. Right now they have a near monopoly on the market with a weak product at best. Yahoo which purchased Overture last year and still underutilizes it must be re-developing it or else why buy it? And you don't think Microsoft is revamping MSN paid search to cut into Googles' pie? Of course they are. New and alterantive CPC searches will finally take a bite out of the big G.
2nd reason. Googles adsense. Google adsense doesn't even make any sense. Well, we can't tell you how much we get paid each click, and we won't tell you what percentage you will get paid, we will just pay you whatever we want, and you will have to be happy with that, because no one else has this service. Ah, OK.
3rd reason. CLICK FRAUD. Everyone is getting tired of getting raped from users clicking over and over on their ads and not buying anything, and then Google says, oh well, more money for us. Click farms in 3rd world countries, and click spamming software will cripple the CPC industry and take Googles stock price right down with it.
I told you so.