Finally, Google Inc. on Friday, 31 Aug 2007, has began to host material that produced by The Associated Press (AP) and three other news services on its own site instead of only directing readers to other destinations.
Google’s movement has change the effect hundreds of stories and photographs distributed each day by AP, Agence France-Presse, The Press Association in the United Kingdom and The Canadian Press. On somehow, by taking this movement, many experts believe that Google will diminish Internet traffic to other media sites where those stories and photos are found, a movement that could reduce the online ads revenue of newspapers and broadcasters.
Google has negotiated the licensing deals with AP and French news agency during the past two years after the services raised concerns about whether the search engine had been infringing on their copyrights. During the same period, Mountain View-based Company also reached licensing agreements with The Press Association and The Canadian Press.
Those term of financial deals have not been disclosed. The approach does not change the Google News look or affect the way the section treats material produced by other media. Google had already bought the right to display the content produced by all four news services. However, Google is still linking to other sites to read the stories and look at the photographs, which is can help those newspapers and broadcasters to earn more online traffic.
Nowadays, Google visitors can able to read AP’s stories on Google’s site; they can also direct themselves to the AP’s site. For temporary, Google does not have any plans to run ads alongside the news hosted on its site.
People believe that Google decision may irritate publishers and broadcasters and the results is less traffic for those publishers and broadcasters and also make the Google as supreme most powerful company on the Internet. This conclusion is strengthening by the fact that Google has been the biggest beneficiary by running the Internet’s largest advertising network. The company has earned US$ 1.9 billion on revenue of US$ 7.5 billion just in the first half of this year, a remarkable fact for 9-years-old company.
Google has dominated in the term of search. According to comScore Media Metrix, in July 2007, Google News has attracted 9.6 million visitors compared with Yahoo News’ industry-leading audience of 33.8 million.
Google’s reason to the readers is to make easier the readers to get or discover the stories and do not have to pore through search results listing the same story posted on different sites.
According to Caroline Little, Chief Executive and Publisher of Washingtonpost Newsweek Interactive, she is worries about anything that might erode her site’s ads revenue. She said that her company would watch this carefully.
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