Google talks about the AOL deal

The AOL deal this week generated not only a lot of good press for the smartness of Google (and how they defeated the competing offer of MS), but also some negative reactions about the consequences for web search results. Some have said that Google would start to add flashy ads for AOL, and even increase the page rank for Time warner content.

It is good to read the response of Google in their blog: basically they are saying none of this is true, their service is not gonna be changed by the deal.

This is a logic answer for a company like Google. They will not compromise their success for a company that is not even close to their market valuation ($131 billion against $20 billion). They know that the reason for this is the confidence the public has on their services.

I think that althought this deal looks big news now, AOL will in fact play a smaller place in Google's revenue over time. Google is a company in expansion, while AOL seems to be slowly dwindling. Then, the deal will just look like a little piece of the whole network of deals that Google is making with a large number of partners.

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