Gomvents - 9:27 pm on Sep 18, 2008 (gmt 0)
Google actually loses money on everything except for adwords which seems to have a finite market which they make smaller by postpay billing. At least with Yahoo they get prepayments from many smaller advertisers and when the bids get to high the small guys get stuck with a balance for ad credits - but cash has already been spent. Google simply loses these ad dollars. New people take Google up on their $5 free all the time, then never buy more ads. Yahoo ad least collects a healthy amount of prepayments. Is Google switches to prepayment for all but their larger accounts they will make much more money.