As Google expands far beyond search and into a vast array of online and offline businesses, from TV advertising to software applications ח Google will need to think beyond the basic terms of Google services and users. It will need to think in terms of partnerships with a slew of different companies and organizations. To understand how drastic a shift that is, consider last weeks spat between Google and eBay.

For a while now, Google has been looking to push Google Checkout, its PayPal competitor, onto the eBay system. In a move to flex its muscles so eBay would pay heed, Google invited eBay Live! conference attendees to a Google party, posted on the Google Checkout blog under the heading ғLet Freedom Ring. In that same post, Google referred to the party as ԓa celebration of user choice. The ԓchoice here was the choice of different payment systems within eBay ԗ PayPal or, if Google gets its way, Google Checkout.

EBay was not amused. In retaliation, it pulled all of its quarterly $25 million in spend out of Google advertising. Google hurriedly cancelled the party; but the damage was already done. As of this writing, the eBay ads have yet to return to the Google SERP.

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