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There are many other methods to make a judgement for blogs with significant subscriber levels, but for many this is like pulling the rug out from under their feet.
You might be interested to know my story was actually buried on Digg, and no story has yet to reach the front page.
I wonder how many Google employees have Digg accounts
Just because they made the PR APPEAR to be lower, doesn't mean real PR has been affected.
Perhaps it's time Google made some modifications to their policy!
Bottom line, the future is clearly not tied together with Google for a lot of bloggers and websites from here on forth.
Slight correction to your article. These penalties have nothing to do with linking out to "bad neighborhoods". They are about selling links, period. If Google was dishing out these penalties based on who you linked out to, then the problem would eventually self-correct, and would have nothing to do with whether or not the link was paid. As it is, they are trying to kill the whole link buying industry regardless of any other factors.
As Tom writes below, this is an attempt to stop this particular type of search engine manipulation.
Now, I agree with you that something needs to be done about the quality of the sites appearing under Google's sponsored results. However, they are clearly labeled "Sponsored Results" and they do not affect those sites' rankings.
Who's to say that the Yahoo! sponsored links aren't better than the Google's organic (*very* loosely defined these days) results? The content of "parked" pages is getting better and more relevant every day...
The PPC campaign was the only way to go, because a domain like that naturally doesn't receive type-in traffic... but the conversions on such a play can't be significant.
Thanks
Normally you would probably look at the first page and find what you want. Thats where pagerank comes in. Higher page rank sites would definitely appear at the front page of searches, especially for important keywords.
As for google's integrity, you can raise a thousand questions to them. The fact remains the same, business is business.
As for sites such as CheapAirFareWorld.com, what can I say. There are always and will be individuals out there who wants to make a quick buck or two.