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eBay Shuts Window on Google Ads

Auction site drops search giant's marketing tools after weeklong spat

By Dustin Lushing,  Newser Staff

Posted Jun 18, 2007 4:29 AM CDT
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(Newser) – Online auction powerhouse eBay broke a multi-million-dollar "keyword" advertising deal with Google, ostensibly after the search engine threw a party in Boston that crowded an eBay conference. But the boycott on search-driven spots also comes as Google's online payment feature Checkout elbows in on eBay-owned PayPal's territory.

Since pulling the keyword ads from Google, eBay traffic has dropped only slightly, prompting head auctioneer Meg Whitman to cement the ban even after Google execs Sergey Brin and Larry Page backed away slightly on Checkout. Now other top Internet companies are searching to find whether Google's pricey keywords are worth it.

Google CEO Eric Schmidt, top left, and co-founders Larry Page, right, and Sergey Brin, front, are seen at company headquarters in this Thursday, Jan. 15, 2004 file photo, in Mountain View, Calif. The trio of billionaires who run Google Inc. collected less than $600,000 in combined compensation last year...
Google CEO Eric Schmidt, top left, and co-founders Larry Page, right, and Sergey Brin, front, are seen at company headquarters in this Thursday, Jan. 15, 2004 file photo, in Mountain View, Calif. The...   (Associated Press)
eBay Inc. CEO Meg Whitman gives the keynote address to eBay sellers gathered at the eBay Live conference in Boston, Thursday, June 14, 2007. (AP Photo/Josh Reynolds)
eBay Inc. CEO Meg Whitman gives the keynote address to eBay sellers gathered at the eBay Live conference in Boston, Thursday, June 14, 2007. (AP Photo/Josh Reynolds)   (Associated Press)
A screen grab showing the eBay member profile for blazers5505 is displayed on a laptop computer in Blacksburg, Va., Saturday, April 21, 2007. The Virginia Tech killer went to eBay to buy ammunition clips for one of the types of guns used in the rampage, a spokesman for the auction...
A screen grab showing the eBay member profile for "blazers5505" is displayed on a laptop computer in Blacksburg, Va., Saturday, April 21, 2007. The Virginia Tech killer went to eBay to buy ammunition...   (Associated Press)
An exterior view of Ebay headquarters is shown in San Jose, Calif., in this Oct. 18, 2006 file photo. EBay Inc. is expected to release quarterly earnings on Wednesday, April 18, 2007. (AP Photo/Paul Sakuma, file)
An exterior view of Ebay headquarters is shown in San Jose, Calif., in this Oct. 18, 2006 file photo. EBay Inc. is expected to release quarterly earnings on Wednesday, April 18, 2007. (AP Photo/Paul Sakuma,...   (Associated Press)
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What the quarrel means for the future
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Google • Internet • Larry Page • Sergey Brin • advertising • eBay • online advertising • traffic • keywords • online auction • Google Checkout • auction • PayPal

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