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Motrcytman's spouse
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The Google backlash begins

In part:
The Internet search giant is having a rough week -- and not just because it missed Wall Street's profit forecast. By Chris Taylor, Business 2.0 Magazine senior editor
(Business 2.0 Magazine) -- Thursday was hardly the best day in Google's three years as a public company.

First, Congress announced it would hold hearings to examine the company's proposed acquisition of fellow online ad firm DoubleClick, a deal the Federal Trade Commission is already scrutinizing.

Then a German conglomerate including Bertelsmann and SAP (Charts) scored a $166 million grant from the German government to build a search engine -- a potential European Google-killer.

To cap it all, Google (Charts, Fortune 500) missed earnings estimates by a hair's-breadth after the market close. Its 2007 second-quarter revenue rose an astonishing 58 percent -- yet analysts had set the bar even higher, at 60 percent.


Fundamentally, the company is still the strongest thing going on the Internet, but try telling that to the hordes of after-hours traders who drove the stock down more than 7 percent late Thursday.
And the drubbing continued Friday. Google stock was down more than 6 percent, to about $514 per share, amid a broader market selloff during morning trading.


From the look of things, the Google backlash has begun.
It's hard to grow a company this big this fast without attracting regulators, doubters and deep-pocketed competitors. Google may have an unassailable lead in search and online ad sales, but a shift in public perception, and the deflating stock price that would result, could quickly become the company's Achilles heel.

Ouch.
 
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