A minor scandal by all measures. Embarrassing maybe, and probably worth a good look over how Google chooses its third party contractors, nothing more.
> "by the company which over the past year has tossed hundreds of sites into oblivion from its search engines, because they had content that was deemed too "thin""
This would be scandalous if Google actually did participate in a blog-payola situation, which they didn't.
> "done by the company with the biggest video ad network in the world, which advises others on how to do video advertising"
Have you worked in a big company before? The fact that you expect the Chrome team to be "advising others on how to do video advertising" is pretty far out. Breaking: corporate communications in giant companies is substantially less than perfect. Film at 11.
> "Simple. It's not a small issue."
The only way this could be construed as a major issue is if Google's lying about the rogue contractor and did in fact knowingly engage the bloggers. Do you have evidence of this?
I honestly cannot see how this is nefarious. Google screwed up and picked a crappy contractor for this work. Everyone goes home with egg on their faces. To generalize and extrapolate this to see malice really demands some substantiating evidence that Google did this on purpose.