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by psychotik 5280 days ago
AdWords trumps PageRank, but understand that Google is (or rather, should be) technically outbidding the market to show that ad.

Though in many ways for them it's like taking money from their left pocket and putting it into their right pocket, so I suspect they will be able to outbid others until infinity.
2 comments
Flenser 5279 days ago
Though in many ways for them it's like taking money from their left pocket and putting it into their right pocket

But that means they're not taking money from anyone else for that ad spot and putting it in their pocket.

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bmelton 5280 days ago
True, but the question isn't whether or not they can afford it, as there's obviously very little that they can't afford, but one of whether it makes sense.

I'm assuming their bean counters have decided on an acceptable user acquisition cost, and likely won't bid above that. If, for example, they're willing to spend $1 on that spot, and somebody else is willing to give them $20 for it, I'm pretty certain they'd sell it out in a flat second.

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