14 DAY TRIAL // Google can be your friend, or the reason of your downfall, if you rely only on the advertising from the Mountain View based company for your revenue stream. And this is not a warning against it, but, as Michael Arrington of TechCrunch.com said, a reason to keep them happy unless you might end up on the receiving end of a surprise like the one mentioned below.
The AdSense revenue is crucial to many of the new startups and the last thing that they want to be receiving one sunny morning is a mail from Google saying that their account has been disabled. That is the story of Israel based IncrediMail, who saw its stock drop about 40 percent after it announced that its advertising deal with Google has been terminated. As to why that came to be is still a mystery, but if the reason is fraud or any other sort of bad behavior, it would most likely mean that the company is basically terminated: other networks, Yahoo and Microsoft explicitly, won't be picking them up after this.
Now, don't be thinking that the Big Three are sharing information about these kinds of things, after all, they really are competing against each other, but if there is as much as a shadow of a doubt that the company isn't entirely legit, they will find out and act accordingly.
Look at the graph on the left and note the huge drop from one day to the next? it's almost as if they're not connected, doesn't it? The company was worth 45 million dollars on NASDAQ on one day and the following 40 percent of that was gone just like that. Yes, it's also some sort of a warning: don't trifle with Google, that would be a real humdinger and not in the good way.