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Are Google's Best Days Behind It?

snydeq writes "InfoWorld's Neil McAllister questions whether slowing product development, legal woes, and rising bureaucracy will signal trying times ahead for Google. 'With Google's rapid growth have come new challenges. It faces intense competition in all of its major markets, even as it enters new ones. Its newer initiatives have often struggled to reach profitability. It must answer multiple ongoing legal challenges, to say nothing of antitrust probes in the United States and Europe. Privacy advocates accuse it of running roughshod over individual rights. As a result, it's becoming more cautious and risk-averse. But worst of all, as it grows ever larger and more cumbersome, it may be losing its appeal to the highly educated, impassioned workers that power its internal knowledge economy.'"

48 of 283 comments (clear)

  1. I'm gonna go with... by iRommel · · Score: 4, Insightful

    No.

    1. Re:I'm gonna go with... by jellomizer · · Score: 5, Insightful

      The real question is to define best days.
      I remember looking back to when I was a Teenager. I remember all the good times I had, without any responsibilities weighing me down. However I remember being miserable (however looking back with my adult brain, I felt I should have been able to deal a lot better then I did at the time). Then College I remember fondly having a much better time then in high school, however I remember feeling far more isolated and lonely. Then as an adult, I don't have much time for all that good time and I am very busy and I don't really remember too much good times in a few years, and having a lot of things to worry about... however my emotional state is much more happier, and fulfilled then at any other point in my life.
      I kinda wish I could go back in time and relive my childhood and early adult years with my current brain and coping skills, Then I would really have ad a blast years ago.

      Now for Google... Starting out everything was new and exciting everyone was giving them praises, However they were more cash strapped and had to do a lot of scrounging and pushing to get every dollar in. Then they have a good flow and development was exciting however they had to make sure that they didn't make any major mistake or they would be toast. Now Google in maturing, It knows that it needs to do and has the money to do it. However a lot of the excitement and praises are going away as Google has become more predictable.

      --
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    2. Re:I'm gonna go with... by rtfa-troll · · Score: 5, Insightful

      The real question is to define best days.

      I think the real question is: "who's paying for the continual stream of anti Google stories in the tech media; why are they so desperate; and do they really think we are that stupid"

      We have no idea whether Google's best days are behind it, but Google's main failure has been in social networking where it has finally released a product which, even though it is terribly incomplete, limited and difficult to get into, is considered by most people who've used it as much better than Facebook. The article is so desperate to discredit Google that it links to what seems to be an MS stooge review rather than actual information about sales.

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    3. Re:I'm gonna go with... by Danzigism · · Score: 3, Interesting

      I agree with you. InfoWorld has composed a barrage of Anti-Google articles for years now mostly because of Microsoft's hands being in their back pocket. Sorry but I'm getting tired of hearing their same crap. Google is simply not going anywhere. Especially when on the other side of the spectrum, you hear news about 25 million people signing up for Google+ in the matter of just a couple weeks. AdWords alone will grow substantially thanks to G+.

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    4. Re:I'm gonna go with... by Canazza · · Score: 2

      an..droid?

      --
      It pays to be obvious, especially if you have a reputation for being subtle.
    5. Re:I'm gonna go with... by jimicus · · Score: 2

      Not to mention apps for business, which is growing at a rate of knots.

    6. Re:I'm gonna go with... by kelemvor4 · · Score: 3, Informative

      Google's main failure is that they haven't had a real big success after their search business.

      You don't consider the world's #1 smartphone OS to be a success? What do you want, every competing OS to be completely obliterated before it's successful? Gmail is pretty successful as I understand it, Maps is also successful.

      Like search, Google gives most of it's products away for free in order to feed their advertising engine. Since they're not making money DIRECTLY on the other products they might also get the benefit of being able to write off development and legal defense of other projects, too.

      I think people forget that Google is basically an advertising firm, and everything else Google does is ancillary.

    7. Re:I'm gonna go with... by Americano · · Score: 2

      In fairness, Google brings this round of criticism on themselves with their whiny, self-righteous blog post.

      "Oracle, Apple, and Microsoft are evil and awful. Never mind the fact that we engage in the same business practices and do the same things they do - right down to bidding on the same sets of patents they outbid us for, and offered to let us join the consortium to buy. Ignore that. Continue viewing us as the embattled underdog, because that makes us more sympathetic."

      Imagine if Tim Cook posted a blog whining about "Oh woe is me, Google is trying to build a competing service to our iCloud service with Google Music! They're evil, and just copy everything we do... waaaah." He'd be laughed out of the Valley, and rightfully so.

      When you're on top in an industry, guess what? Your competitors will go after you and try to take away your business. This is the way competitive markets work. If you suspect that your competitors are colluding in violation of antitrust laws, file a lawsuit. Whining about how your competitors won't just go away and cede the market to you is pretty fucking stupid, especially when you're an 8,000-ton gorilla.

    8. Re:I'm gonna go with... by rtfa-troll · · Score: 2

      Never mind the fact that we engage in the same business practices and do the same things they do - right down [...]

      But not including suing other companies. That may change, but until it does they are the underdog and should be supported in any battle with companies that consider suing the best way to compete.

      --
      =~ s,(.*),<sarcasm>$1</sarcasm>,g if any_point_you_wish();
    9. Re:I'm gonna go with... by anyGould · · Score: 2

      The problem is that it's not even really an anti-Google article. It's a MadLibs:

      (Company) has enjoyed massive success with (product), bringing them to the top of (field) after (setback, startup, other bad news). But could it be that (new product) will be their downfall? Buy (magazine) and find out!

      It reminds me of the old You Don't Know Jack ads - The Sun: Source of Life or Fiery Death? Find out tonight!

    10. Re:I'm gonna go with... by anyGould · · Score: 2

      They could have easily joined the pool, and saved a few billion dollars, if their goal was simply to secure rights to the technology covered by those patents. Instead, they decided they'd rather own them outright, rather than share, and they lost the bidding.

      You miss the point - those patents aren't what Google wants. The patents are ammunition. Right now Google is outgunned because Microsoft and Apple and whoever else can keep dragging them into court to defend against (for instance) Apple's patent on being able to dial a phone number that you received in an email. Then it can do it again, and again, and again, and again, ad nauseum.

      Keep in mind that these patents are almost all entirely garbage - they exist solely to extort money out of their competition. And the big players all have enough of these players for detente - Apple can sue MS, but MS has their own arsenal to sue Apple back.

      Joining the patent pool doesn't give Google anything useful, because they don't need permission; they need ammunition.

    11. Re:I'm gonna go with... by smallfries · · Score: 2

      Gmail?
      Maps?

      It also seems disingenuous to claim that their search engine was developed ten years ago by a few dozen people. Their search engine is very different now to what it was ten years ago, probably because of the army of CS PhDs working on it. One frequently overlooked aspect is the several orders of magnitude increase in the size of the index - not many products scale up by that amount in their lifetime. The current search engine and the original are very different beasts. Google had to develop whole new methods of building and managing clusters of datacenters to make that happen. Saying that they've only had one successful product doesn't really mean that they've rested on their laurels when that product has had to change so much to stay competitive.

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  2. Are Tech Journalism's Best Days Behind It? by Anonymous Coward · · Score: 2, Insightful

    That is the question.

    1. Re:Are Tech Journalism's Best Days Behind It? by RyuuzakiTetsuya · · Score: 2

      No.

      There are morons who are banking everything based on what John C. Dvorak or whatever moron in InfoWeek or CompuTron monthly is publishing.

      In short, lazy stupid journalists will never die as long as those who are too lazy to be properly informed are willing to buy.

      That being said, Google's best behind them? Probably. Is Google going to crash like Yahoo or Altavista? No. God no.

      --
      Non impediti ratione cogitationus.
  3. Fun by Anonymous Coward · · Score: 4, Interesting

    When it stops being fun, it's all downhill.

  4. Deja Vu All Over Again by Anonymous Coward · · Score: 2, Insightful

    This question comes up every year. This is just a typical shit-stirring piece, trying to round up pageviews and clickthroughs.

    If your article's headline is a question and the answer is "No", don't bother publishing it. It's like journalistic masturbation, you're doing a service to no one but yourself..

    1. Re:Deja Vu All Over Again by bonch · · Score: 2, Interesting

      Until you can prove that the answer is, in fact, "no," your dismissal of the question is meaningless. Google is under a lot of fire these days. They haven't innovated in over 10 years; all there new products have been me-too follow-ups to competitors. Just because anonymous Google supporters on Slashdot don't want to hear any negative news doesn't mean there isn't something worth talking about.

    2. Re:Deja Vu All Over Again by frank_adrian314159 · · Score: 2

      They haven't innovated in over 10 years; all there new products have been me-too follow-ups to competitors.

      I should respond to someone who doesn't know the difference between "there" and "their"? But, anyway here goes...

      Google doesn't need to innovate that much anymore. With Google, the platform is simply the come-on. They expand the number of interrelated web services and market these to more people, they've expanded their [Ed.: Note proper usage of "their"] viewership and increased the amount they can charge for AdWords. All else is noise. Welcome to Google - it's the new TV. The fact that you're looking at "innovation" as a metric of anything that Google is doing now means you don't understand what they're doing.

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      That is all.
  5. Long story short, by redemtionboy · · Score: 5, Insightful

    No. People have been saying this about Google for the past 5+ years. The difference between Google and Microsoft is that Google has maintained the mindset of a startup. Things like 20% time will always insure that Google has a fresh set of ideas brewing and working their way up.

    1. Re:Long story short, by Frosty+Piss · · Score: 4, Insightful

      Its newer initiatives have often struggled to reach profitability.

      I know lots of people here like to parrot the nonsense that profit profit profit now now now is legally and ethically the sole objective of publicly traded corporations, but that's simply hogwash.

      And in Google's case, it isn't.

      There is no particular reason any particular "product" needs to be financially profitable for Google now now now in the way that these parrots are thinking. It's really better to think of many (most?) of Google's "products" as research projects, and remember that in many cases those "failed products" end up as parts or foundations for future products.

      It is exactly this profit profit profit now now now bullshit that is stifling innovation in the world today and in the US in particular.

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    2. Re:Long story short, by jalefkowit · · Score: 3, Informative

      It's really better to think of many (most?) of Google's "products" as research projects, and remember that in many cases those "failed products" end up as parts or foundations for future products...

      Google appears to disagree: under Larry Page's leadership, they have begun pulling back on the "throw lots of things against the wall and see which ones stick" strategy.

    3. Re:Long story short, by hedwards · · Score: 2

      I think you're misreading the post. They're not winding down the skunkworks, they've just hit the point where they're in as many areas as they can comfortably manage right now and they'll be restricting most of the experimentation to those areas. That is until they've strengthened their positions.

      One of the reasons I don't own any Google stock is that the strategy they were using didn't seem to have any predictability nor did they seem to be worrying about future profits. It is good to experiment and keep oneself from being pigeonholed, but by the same token, you do need some sort of over arching strategy other wise you'll spend so much time trying not to be outflanked, that you run yourself out of business.

    4. Re:Long story short, by rabun_bike · · Score: 4, Insightful

      Actually the more fundamental difference is the Microsoft is a certified monopoly by US district court Judge Thomas Penfield Jackson. Aside from that, Microsoft derives the majority of its revenue from license fees of software and hardware products. The hardware products make up a tiny portion of that revenue. Google, on the other hand, derives something like 97% of their income from selling adverts. That makes then an advertising company. And if you parallel most advertising based firms with Google such as ABC, CBS, Turner Broadcasting, NewCorp, Viacom, etc. you will find that in order to sell advertisement you need shows or products to attract viewers which then drive advert sales. Some produce their own content such as CNN via news gathering and others buy it like ABC, CBC, and the main stations. In Google's case they produce their own shows but those shows have names like Gmail, Google Search Engine, Google+, iGoogle, etc. It is hard to have hit shows and Google needs hits to keep the advert dollars rolling in. The Google Search Engine is like the Simpsons. But even the Simpsons can't bring in all the money you need for your "station." They need other hit shows and they are having trouble coming up with them.

  6. Best days for what? by Hatta · · Score: 3, Insightful

    Best days as a search engine? Probably, yes. Best days as an advertising revenue machine? Probably not.

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    1. Re:Best days for what? by yanyan · · Score: 2, Insightful

      I find their search results annoying a lot of times. For example the engine would insist on a spelling that is different but apparently more well-known than what i typed. I remember in the past it used to search for the actual term and then suggest its alternate spelling. Another example would be when searching for phrases with spaces. Even if i quote the entire phrase the engine would return results with only some of the words in the phrase. Very frustrating.

  7. It can't be said for sure by erroneus · · Score: 4, Insightful

    At this stage in the game, it can't be said whether or not Google can turn things around, but it is quite certain that the direction of things at the moment is not the best for its users. Google has put out many useful services that many people use out there. (Personally, I just use search and though I do have a gmail account, I don't really use it...) But lately, Google has been tying things together with their services and now this Google+ thing really worries people.

    Perhaps the minds of the masses haven't been made yet, but I am always cautious when it comes to marketers and advertisers and Google is definitely one of those.

    I think this tying together of services is a way of locking in and firmly identifying its users. Their push against pseudonymity/anonymity has me and many others worried.

    1. Re:It can't be said for sure by erroneus · · Score: 2

      Google is still young enough to realize that if they loose their "fan base" they will pretty much lose the entire show. They are not yet entrenched deep enough into business that they can ignore the peons just yet.

      So yes, they are making more money than ever. If Google truly believes that the measure of their present and future success is measured only in dollars, then Google's fate is already sealed. Google is not, as far as I can tell, an MBA-infected company and I don't believe they think that way just yet.

  8. The pundits said the same thing about Apple... by SwedishChef · · Score: 2

    And I remember when a major tech magazine had a cover touting Microsoft's NT server and saying "Unix is Dead". Actually, the magazine died first.

    --
    No one ever had to evacuate a city because the solar panels broke!
  9. I don't know... by brim4brim · · Score: 2

    I switched to bing for most of my searches because it usually gets me links I want and not some local copy of the original article. I think Google searches are too localised and too much centered around my search history among other things. I'm always logged in as I have mail account with them and logging out and in to that to perform searches is a pain and not only that but it still localises the search results to bias for my country. Sometimes I want an outside opinion about what is going on. Google just doesn't seem to be as good as bing for that. It is better at finding local services like government sites for my country but worse at most other things now. I recommend people try bing now. A lot better than it was when it launched. I tried switching to other mail services but Gmail is the best with Google Doc integration and Google tasks but I'm leaving the search engine behind me.

  10. The Infoworld story sounds like FUD by dtjohnson · · Score: 2

    Honestly, the 'best days are behind it' kinds of stories about any company should automatically set off the FUD alarms unless they are based on specific events which support the point like dropping market share, declining revenues, product recalls, mass layoffs, etc. Yesterday, there were newspaper columns about how people are allegedly turning away from Apple MacBooks because they allegedly don't render fonts as well as Windows 7. Shame on slashdot for providing a platform for such a story. Google may be dying or its prospects may never have been brighter but the truth of it will never be known to us from reading stories which germinate in fud-infested soil.

  11. Re:Startup mentality - like this? by Anonymous Coward · · Score: 3, Insightful

    They're like a startup, in that they willfully infringe patents?

    http://fosspatents.blogspot.com/2011/08/oracle-and-google-keep-wrangling-over.html

    I guess they are willing to make mistakes.

    Google is clearly on the right side of the java debacle. Java is licensed GPL2, which allows forks. The copyright license doesn't cover patents, true, but if you license your code to allow forks, and then sue for copyright infringement, I call estoppel.

  12. Meal Ticket Lottery. by 140Mandak262Jamuna · · Score: 3, Insightful

    The number of predictions made by these analysts, talking heads, policy wonks, think tank shills etc far exceed the actual number of companies. There is a constant stream of such predictions. At some point some one has to be right. Then the guy who won the lottery, i.e. the guy who predicted it exactly at the right moment, is going to beat his chest and make loud noises about how he got it right, when everyone else was wrong. The prize for winning that lottery is a life time supply of meal tickets. Essentially this guy will be invited to occupy one square in the talking heads matrix that is de regour (sp?) in the business news channels.

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  13. Re:Really? by MaxBooger · · Score: 2, Funny

    OK, that's it. Sonic for lunch.

  14. Re:Yahoogle... by serviscope_minor · · Score: 2

    it's bigger than Ford, GM, Starbucks, FedEx, United Airlines, and Viacom combined.

    So, I guess it depends on what one counts as "best days".

    It's gone from being the cool new kid on the block to a technology behemoth with the corresponding beaurocracy and an eye on its main revenue stream.

    Just like microsoft, its meteoric rise is certainly over.

    However, it isn't going anywhere and will continue to grow for a while yet. It will certainly make the founders a good deal richer. So, it depends on what you consider to be the best days.

    Do you want the yound small company that does only cool stuff, or do you want the megacorp which is phenomenonally rich and does some cool stuff?
     

    --
    SJW n. One who posts facts.
  15. Re:Yes by somersault · · Score: 2

    Individually there might not be a lot of spending power, but there are an awful lot of Chinese people.. so anyone who can get into that market early is going to do pretty well out of even moderate rises in their average spending power. Nobody really knows how quickly their economy will grow, or how quickly the US's will fade.. a whole lot can happen in 13 years.

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    which is totally what she said
  16. Depends, I suppose... by HerculesMO · · Score: 2

    The thing about Google is that 90%+ of its entire revenue comes from search. This isn't true of Microsoft, or even Apple, or Oracle. They have multiple lines that generate revenue.

    If Google loses 5% on search (not a lot) the blow to them is a LOT bigger than if MS loses on search, or Apple loses on iTunes. So as far as their best days being behind them, I'd say yes; but the same is true for MS and Apple, but in different respects.

    Google needs to innovate outside of search, but everything they do keeps coming back around to search; even Google+. It's a datamining operation and it doesn't produce a line of revenue that's not susceptible to challenge, whether it's Bing/Facebook or something else. They need more sources of revenue, not ways to bolster their only line of revenue. But that's just my opinion.

    --
    The price is always right if someone else is paying.
  17. Decline started years ago when they broke search by harl · · Score: 2

    This started years ago when they broke search.

    You can't search for exact text. Quote marks are ignored. No + operator. Case is ignored. Special characters are ignored.

    This renders Google completely unusable at times.

    Try searching for . It returns a million useless hits and 265 maybe hits.

    The first result is an URL not a content match.

    Then results contains FILE:HARD. That's not what I searched for. That's a failure state.

    Then it starts giving results containing "file hard". That's not what I searched for. That's a failure state.

    Anything that does not exactly contain the string is not going to be applicable to my problem. There's just no way to tell Google that.

    They've completely thrown away usability in exchange for speed.

    --
    I find being offended by me offensive.
  18. Re:Yes by MrMarket · · Score: 2

    Big market != Good business. Trading profits, IP, and making compromises on your business for access to a big market are not necessarily good business moves.

  19. One-trick pony by Animats · · Score: 2

    Google remains #1 in search and incredibly profitable at it. Nothing else they've tried makes much money. This worries their management, because if someone with a broader product line (like Microsoft) gets any real traction in search, Google could be toast. (Consider what Microsoft did to the video game industry.) Google has no other revenue stream.

    That's not a bad place to be. Consider Oracle. They've been a database company for decades. Everything else they've tried to do, from video streaming to supercomputers, has been disappointing.

    Personally, I think that Google's biggest problem is that they're not focusing enough on the search engine and search quality, which is their cash cow. They've made some big mistakes in search since last October. The press on Google has been very critical. That's new for Google. Until late 2010, they received very little bad press.

    Most of their engineering talent is going into money-losing projects. What I hear is that the cool kids there want to work on mobile and social, not the big boring search engine. Page told his people that their bonus this year depends on how Google does in "social".

    The trouble with focusing on "social" is that Facebook is about a fifth the size of Google and has probably peaked. Ads on "social" systems are an annoyance, unlike search ads, which are sometimes useful. The only way for a social network to increase revenue is to become more ad-heavy. Myspace tried that. We know how that came out.

    1. Re:One-trick pony by Bauguss · · Score: 2

      I think you have a short term memory.

      Every google search algorithm change has come with criticism by those who are negatively effected by it. I can't recall a change that didn't. In fact, as a web developer (but not an SEO person) I often find out there was a change from bad press.

      The thing is, bad press doesn't matter. Outside the technical community, no one notices these things. And as long as Google has great revenues, wall street won't give a rats ass either.

    2. Re:One-trick pony by Animats · · Score: 2

      The thing is, bad press doesn't matter. Outside the technical community, no one notices these things.

      It's gone way beyond that. There have been very critical articles in the New York Times. Google executives are being forced to testify before a Senate committee. Google's search problems are being noticed.

  20. google is getting sloppy by FudRucker · · Score: 2, Insightful

    content farms looking for "click-thru" revenue as p0wned google for quite some time now....

    --
    Politics is Treachery, Religion is Brainwashing
  21. Re:Same old nonsense. by jalefkowit · · Score: 4, Interesting

    Interestingly, Apple before the Second Coming of Jobs had one of the same problems Google does today: too many products, forcing them to spread their resources too thin to support them all. Apple in the 1990s had an incredible profusion of different flavors of Mac; one of Jobs' first big decisions was simplifying it down to four key product lines and throwing the rest out. (Here's video of Jobs himself explaining the situation at the 1998 Macworld keynote.) It angered a lot of people at the time, but that decision was a big part of what started Apple's turnaround.

  22. Some say the same about slashdot... by kaizendojo · · Score: 2

    That the "news" here is all second sourced and second-hand, not the latest or the fastest, and that there are better sites to keep up on the tech/g**k side of the news.

    But then later in that same hour, I'll read something genuinely interesting that was missed by the main stream or read a take on a well tread story that I never considered, or read a reply that makes me laugh, choke or think...

    To paraphrase Twain, rumors of Google's best days behind it are greatly exaggerated. (And usually from the same people who tried to sell us derivatives...)

  23. Google are doing just fine by Flipao · · Score: 3, Insightful

    Android is growing massively, they lead in search and they've finally cracked social networking. Microsoft on the other hand are losing billions in both the search and mobile markets every single year. They've been so focused on Google they didn't notice Apple sneaking by and their OS business is far closer than most people realize to fading into irrelevancy over the next decade or so.

    People bring up software patents all the time but these only really apply in the US. They're screwed.

  24. No. by Jerry · · Score: 2, Interesting

    These are coordinated attacks on Google by those whom Google is out competing on a level playing field.

    If marketing the best smartphone OS in the market to give them the #1 market share is evil then Microsoft is a pure saint, so soundly did the public reject Win Phone 7. If helping a company drive its 44% smartphone market share to less than 15% in one year is good competition then Microsoft is saintly indeed. I also noticed that it was that saintly company Microsoft that PR'd a lot about Google's "evil" in tracking wifi with geocordinates, but Microsoft published their own public website with the same information.

    And, please tell me you'd rather have Larry Ellison rather than Larry Page influencing your web experience. IF that were the case you'd be paying a micro payment for each search, with extra added for narrowing to specifics, and there wouldn't be any other search game in town. One only has to look at how he's trying to abuse Java to realize what would happen if he ends up winning against Google, which I doubt he will unless he buys off the judge.

    --

    Running with Linux for over 20 years!

  25. Yahoo Mail by The+Conductor · · Score: 2

    Yahoo, well, can't say I have an opinion of what it is like now, haven't used it since 2004. Does it still exist?

    A few months ago, I did an analysis of the list of parents' email addresses from the school drama club. Yahoo was the most common provider with about a third of them. After that was the local DSL or cable ISP. Third place was people using work email addresses. GMail was fourth at about 15%. Then Hotmail/Live. Only about 1%, myself and one other person, were using a paid 3rd party service. For the record, I use usermail.com and am very happy with them, and seldom use my Gmail account.

    What conclusions can be drawn from that? I would say Yahoo-email's first-mover advantage is much more durable than Friendster's or Myspace's was. Or perhaps Facebook's is. I would think that a survey of younger people would have fewer yahoosiers and more GMailers

  26. Google has problems, but lock-in ain't one of them by npsimons · · Score: 2

    Perhaps the minds of the masses haven't been made yet, but I am always cautious when it comes to marketers and advertisers and Google is definitely one of those.

    Agreed.

    I think this tying together of services is a way of locking in and firmly identifying its users.

    Then you'll be happy to know that Google themselves discourages lockin.

    Their push against pseudonymity/anonymity has me and many others worried.

    I as well, but one of the amazing things about Google is that most of the time, when someone calls them on something or complains, Google listens. How many times has Apple or Microsoft changed policy because of user complaints? Google could be better, and if you talk them, they probably will be.