Indexing the Desktop - Results of Google Ads
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Microsoft and Yahoo! have been engaged in search engine wars for the past year or two and as it stands, Google is dominating them handily, particularly in its ability to deliver unprecedented accuracy with its search results and, more importantly, its ad targeting.
The obvious result of such an effective advertising program is an incredible inflow of money. Google is notoriously defensive of its privacy and no one outside the company really knows how many servers they have or how many new products are in the pipe, but the products and services that are currently offered by Google are money making machines, pure and simple.
Bringing your personal computer contents -- instant messaging dialogs and email in particular -- allows Google to effectively model your interests in such a way that they can deliver ads that you will in all likelihood look into. This is most important to businesses who actually sell products online. E-commerce is a multi-billion dollar industry, and companies fight tooth and nail for ad placement to sell their products. Google has created a hyper-competitive environment within which the most creative and efficient e-commerce shops can thrive, and because of that Google is thriving.
If Google is able to continue increasing its revenue by powering up Ad Words and creating new ways to sell their services (such as the Google Search Appliance and Google Answers), it can continue to fund its seemingly endless stream of innovations. More importantly, Google can continue to dominate the search engine wars and continue to position Microsoft, the world's largest software maker, under its thumb.
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