Google's Achilles Heel
jottit.com
jottit.com
Why? For selfish and honest reasons: For one, I personally don't like ads at all, I prefer the real estate on my monitor much more. Second, I will probably have to start paying (just a little bit) for services I really like. Let's see... I'd pay for google search, flickr, reddit, gmail...
And Internet will be free from all this ad-revenue-fueled noise. And entrepreneurs will be more focused on building things people want to pay for. And Google will still be #1 simply because people (I believe) will want their services: search, gmail, maps, online docs, etc. After all we've been paying Microsoft for stuff we didn't really need for years.
Advertisements are de facto micro-payments and they work really well. We don't even all have to pay (shhh). They're a small price to pay to keep the web growing the way it is. I think an arms race and eventual truce is the most likely result.
I think startups focusing only on things people want to pay for directly would reduce the number of startups dramatically. Having eyeballs as a currency which can be exchanged for money is unbelievably powerful.
But I do think Google is vulnerable to a collapse in the web advertising market. Look at all the pain that was caused the last time this happened (didn't we learn our lesson about building businesses that are totally dependent on advertising income?). If the advertising market were to collapse, what would Google do? (I'm genuinely curious to hear speculation about this...)
Every weblog with AdSense advertising looks better (design wise) with AdBlock+ turned on; there is more negative space and less visual noise.
I live in Bulgaria, btw ;)
I do think Google's advertising model can't last forever. Just like the old "pay per view" model mostly died out on the web, the "pay per click" model will die out too. The obvious next step is pay per sale. Yes, it's hard and has problems. But if somebody finds a good way to make this work, this could potential steal away some of Google's business.
they are never useful or informative.
He/She seems to be referring to advertisments in general, making the statement all the more ridiculous. Advertisements are one component of marketing, and without them, all the other--more dishonest--components have all the more power. Most prominently, advertising allows the smallest companies to compete for attention along with massive companies, if only in a targeted way.
identifying ads is relatively easy technically
Oh, you think so? Well, when adblockers become standard issue, I can assure you that advertisements will be very difficult to identify, because they will be incorporated into search results, as in the old days.