http://www.nytimes.com/2009/02/27/technology/internet/27google.html?_r=1&ref=technology
Google has recently begun running small ads on their news service. This is in response to newspapers seeing the internet diminish their business. This devastation has mainly been brought on my advertisers moving their business to the internet. Google hasnt put ads up on GoogleNews until now and there has been contraversy over this switch. Newspaper publishers have been very harshly criticizing this switch as well.
I am torn between whether or not this was a good move for Google. I am usually all about keeping the traditional while introducing the new (i.e. newspapers and the internet) but if the advertisers are already moving their business to the internet what is one more site to do so? This is something that will most likely be argued about for the next couple months, and it will be interesting to see what direction Google goes with it.
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I guess part of the argument is that Google News doesn't really create it's own news articles, but rather gathers news from other news sources. So Google is profiting from these news sources, but presumably not sharing the revenue. But on the other hand Google News helps point potential readers to these news sources.
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