Just wondering, you host 3 different sites on 1 same server = same ip. So those 3 sites are different, but RELATED, so you cross link them. ie, site 1 links to site 2 and 3 main page, site 2 links to site 1 and site 3 main page, etc.
Does this incur a penalty in Google's eye? and why? how then would you link between a network of sites?
We have done linking in this fashion and not had a problem with Google. However, Yahoo does not like it one bit.
The thing to keep in mind is that you need a ratio where that type of linking is in the minority, not the majority. The ratio can be higher with Google than Yahoo. If you go the slightest bit to far with Yahoo you will suffer the dreaded penalty.
Yes, Yahoo hates it. Google hates it a little less - play it carefully. Google basically treats my sites which are cross-linked as a single site I think. I don't suffre, but I dont get any advantages of all my own sites linking to each other either. Yahoo just pretends that none of the sites even exist. (they are all state-specific sites on the same country and so need to link to each other to direct visitors correctly) And to think we made them that way and not as a single site because we didnt not even know about SEO when we made them ... boohoo.. :-((