After reading this FLOC stuff I began to think of Google similar to an oil company (Exxon, BP, Shell, etc). That is to say that their existing business is built atop something that's a necessary evil. For BP it's hydrocarbons drilled out of the ground, for Google it's ad data.
But it doesn't take much imagination to see those two things slowly being replaced by something else. Hydrobcarbons will slowly be replaced by solar, maybe biofuels, etc. Ad data...I'm not sure, but I think companies are beginning to see that the value of ads, even targeted ads, is far less than what they are paying. Once that data and wisdom matriculates further and further, Googles revenue will come under pressure.
I'm not speculating timing, who knows how long the slide will be, when it will start, and what the slope will be.
Have you though?
Have you lived without using a service that is directly funded by advertising (that you then blocked, assuming that service pays for itself?)
Note: I'm not justifying that model. I fucking hate it.
But it exists, just about everywhere.
It seems to me that it would be very hard to avoid using any service that isn't paid for by advertising.
I think companies are beginning to see that the value of ads, even targeted ads, is far less than what they are paying.
Quite the opposite. Targeted advertising is lucrative precisely because it reliably, demonstrably leads to increased sales or other KPIs. Furthermore, the increase is sales (or other KPIs) is far more predictable than many other forms of traditional advertising.
When it is not necessary to make a decision, it is necessary not to
make a decision.
Google as a legacy corporation (Score:3)
After reading this FLOC stuff I began to think of Google similar to an oil company (Exxon, BP, Shell, etc). That is to say that their existing business is built atop something that's a necessary evil. For BP it's hydrocarbons drilled out of the ground, for Google it's ad data.
But it doesn't take much imagination to see those two things slowly being replaced by something else. Hydrobcarbons will slowly be replaced by solar, maybe biofuels, etc. Ad data...I'm not sure, but I think companies are beginning to see that the value of ads, even targeted ads, is far less than what they are paying. Once that data and wisdom matriculates further and further, Googles revenue will come under pressure.
I'm not speculating timing, who knows how long the slide will be, when it will start, and what the slope will be.
Re:Google as a legacy corporation (Score:4, Insightful)
built atop something that's a necessary evil
Necessary to who? I've lived comfortably without advertising of any kind for the better part of 10 years and haven't been happier.
Re: (Score:3)
Have you lived without using a service that is directly funded by advertising (that you then blocked, assuming that service pays for itself?)
Note: I'm not justifying that model. I fucking hate it.
But it exists, just about everywhere.
It seems to me that it would be very hard to avoid using any service that isn't paid for by advertising.
Re: (Score:2)
I think companies are beginning to see that the value of ads, even targeted ads, is far less than what they are paying.
Quite the opposite. Targeted advertising is lucrative precisely because it reliably, demonstrably leads to increased sales or other KPIs. Furthermore, the increase is sales (or other KPIs) is far more predictable than many other forms of traditional advertising.