The Google Bubble Bursts

If you haven’t heard, Google recently broke every link in every search result. The result so far has been that people are questioning their reliance on Google. Apparently Gmail still has problems (for instance, it’s spent the better part of a decade in beta).

It seems to me that Google does not have a clear purpose in life. It started out as a search engine, then started buying other web companies. It now does blogs, maps, video, and cell phones, all with revenue generated from ads. Its business model seems to be “advertise and buy”, and that’s about it.

Until now, Google’s reliability has been unquestioned. The mishap this weekend has suddenly raised an overdue question. What will happen to Google’s income as advertisers start to wonder about Google’s reliability?