Good or evil?
Op-Ed: Is the once-anarchic and likable Google turning into a giant octopus, asks Gerti Schön.
Guest Commentary Is the formerly anarchic and sympathetic Google turning into a giant octopus, asks Gerti Schön.Observers of America's high-tech world are currently preoccupied with one question above all others: Is Google to be equated with an angel or the devil? Even the low-key New York Times insinuated that Google is after a "$400 billion global advertising honeypot," threatening every respectable media company. In fact, competitors have reason to worry: For some time now, Google seems to have been positioning itself as an advertising broker for all media platforms. Last week, it announced a collaboration with a whole range of newspapers that will allow advertisers to place ads in those papers via Google. With the purchase of YouTube, Google will soon have a video platform available for the same purpose.
According to US bloggers, Google is planning to produce entertaining video clips created by users, into which advertising messages can be woven. Google acquired dMarc Broadcasting, a company that enables advertising bookings on the radio, in January, and even the entry into the coupon business, a business not to be underestimated in the USA, was tackled with the help of GoogleMaps in August.
It remains to be seen whether Google is helping the established media companies, as it seems to be doing in the case of the newspaper cooperation, or whether it is tightening their throats. "It all depends on whether you want to believe that Google is systematically evil or just opportunistic," says Peter Krasilovsky, a consultant at media group Knight Ridder.
So will the formerly anarchic and likeable Google become the all-devouring giant octopus that divides up a large part of the advertising pie between itself and its partners? The experience of history looks different. Recall the octopus Microsoft, which was put in its place partly by government intervention and partly by competition. In addition, there is an almost inevitable dynamic: the more the company grows, the more cumbersome it becomes - not good conditions for the constant pressure to innovate in the industry.
Gerti Schön is the USA correspondent for Werbewoche.
According to US bloggers, Google is planning to produce entertaining video clips created by users, into which advertising messages can be woven. Google acquired dMarc Broadcasting, a company that enables advertising bookings on the radio, in January, and even the entry into the coupon business, a business not to be underestimated in the USA, was tackled with the help of GoogleMaps in August.
It remains to be seen whether Google is helping the established media companies, as it seems to be doing in the case of the newspaper cooperation, or whether it is tightening their throats. "It all depends on whether you want to believe that Google is systematically evil or just opportunistic," says Peter Krasilovsky, a consultant at media group Knight Ridder.
So will the formerly anarchic and likeable Google become the all-devouring giant octopus that divides up a large part of the advertising pie between itself and its partners? The experience of history looks different. Recall the octopus Microsoft, which was put in its place partly by government intervention and partly by competition. In addition, there is an almost inevitable dynamic: the more the company grows, the more cumbersome it becomes - not good conditions for the constant pressure to innovate in the industry.
Gerti Schön is the USA correspondent for Werbewoche.
