Google Math: Buy $1,000 in Radio Ads, And We’ll Give You $2,000 Back

Here’s a good brain teaser for those famous Google job interviews: If you pay me $1,000, and I give you $2,000 back, how much profit does that leave me?

Unfortunately, this is not a hypothetical question. It’s an actual promotion for Google’s radio ad network, known as Google Audio. That’s right, Google is offering $2,000 to any advertiser who spends $1,000 on a Google Audio ad campaign. The $2,000 comes in the form of a credit on future ad campaigns, but part of it still comes out of Google’s pocket since it needs to pay the radio stations who will run the ads. It amounts to a “buy one, get two free” offer and is good through the end of the year.

This is but the latest piece of evidence that, while Google may be golden in online advertising, its forays into off-line advertising have yet to catch on. Google must be having a real hard time selling those radio ads to have to resort to such a blatant attempt to buy market share. It’s not the first time it’s tried such tactics either. Last year, in an effort to jumpstart Google Checkout, for instance, Google paid $10 for every $30 in sales that merchants directed through its PayPal competitor. I’m not sure how well that went. But last time I checked, PayPal was still around.

Just because Google has cash to burn doesn’t mean it should use that cash to try to buy market share. If it truly has a better way of buying and selling radio ads, advertisers and radio stations will quickly figure that out on their own. It is not a good sign when Google has to resort to paying customers to try out a new product.

EBay Sees $1 Billion Knocked Off Market Cap; Skype Outages Continue

It was a bad day for stock in general, but eBay had a double whammy.

eBay shares closed down 2.58% (89c) Thursday despite a late rally by NASDAQ listed stocks. The decline knocked $1 billion + off eBay’s market cap and follows a day where the eBay owned VOIP provider Skype remained crippled by a system wide outage.

The Skype outage is now approaching 18 hours (at the time of writing) with little information coming from Skype other than that the issue is related to “sign-on problems.” Skype earlier in the day was forced to deny rumors that their platform had either been hacked or subject to a cyber attack.

Some users have reported intermittent Skype service, with the service connecting then dropping after several minutes.

MyLiveSearch Misses Launch Date, But The New Logo Is Top Notch

Some of you may remember our ridicule of the unlaunched Australian search engine MyLiveSearch back in May after a glowing but research-free Australian newspaper article about them. Being unlaunched is fine, but suggesting that Google is worried about them is a little over the top to say the least.

Dubbing itself the “world’s first live search engine” it promises to show us the 4/5 of the web that Google doesn’t index - this includes the grey web of dynamically created web pages as well as real time indexing of more traditional pages. Their sub tagline: “Searching the internet will never be the same!”

The company promised to debut the service in June. They missed that deadline and still haven’t launched. And frankly I probably never would have written about them again except that they’ve started emailing us again for coverage. They won’t tell us anything about the service, apart from the hyperbole. No demo’s or screen shots either.

But there is a bit of good news. They’ve ditched the old logo and have come up with something much more webtwoohified. Stay tuned. They promise to announce the (new) launch date shortly.