Up until this point, our talk of Google being a one-trick pony was muted by the fact that the services shut down were not core to either AdWords or AdSense. Now we learn from Google that AdSense video ad units are being retired at the end of April.
After reviewing our AdSense video units feature, which allows you to show YouTube content and ads on your pages, we’ve found that it hasn’t had the impact we had hoped for. As a result, we’ve decided to retire this feature at the end of April so we can focus our resources on other opportunities to help publishers earn from their sites.
What to make of this? On the one hand, we see Google taking measures to remove anything that’s not realizing revenue–a smart move in these tough times. On the other hand, it makes you wonder just how bloated has Google become? If ad units within Google’s core AdSense offering are sucking-wind, then how many other areas of Google’s business are nothing more than a drain on the company’s profits?
Ben Bernanke–and the rest of us–might want to add Google to its list of indexes that indicate whether we’re still in a recession or not. All the while Google cuts the chaff from the wheat, we know we’re still in trouble. Once Google starts announcing new revenue channels–or starts making acquisitions again–we’ll know the light is at the end of the tunnel.