What will Google do?

I read a couple of interesting articles and blog posts recently that pointed out what could be described as Google’s Achilles heel. Apparently online ads click rates are on the decline – 8 % of all internet users account for more than 85 % of all ad clicks, it’s even more skewed than Pareto’s Law. This is a 50 % drop since the year before when 16 % of the internet users accounted for 80 % of all ad clicks.

And where does the majority of Google’s revenue come from? Ads! Have a look at this chart and you’ll see that any change in the ad market will most certainly have an effect on Google’s revenue base.

So what will Google do? Well what did Microsoft do? Have a look at the next chart and we’ll see that an OS could be a profitable venture – that is if you charge for it

What do you think?