A piece that appeared in the WSJ today (sub. req’d) cites Google CFO George Reyes’ remark that Google’s growth "is slowing due to the ‘law of large numbers’ and it will need to find new ways to boost revenue." As one might expect, the stock took another hit.
I think this means several obvious things for Google:
- Pushing out more aggressively in other online ad vehicles (display, PPCall, etc.)
- Trying to go after more SMEs, which is challenging though not impossible, for all the reasons we’ve discussed at length
- Going offline. There’s a big Jefferson Graham piece in today’s USA Today about Google’s "offline" (traditional media) efforts
Unfortunate as slowing growth is for Google, it will make life much more interesting than it has been (how can it get any more "interesting?" you ask) — as Google takes some more "risks" and other companies are forced to react.