Google 'could benefit from financial crisis'

23/10/2008

Google may be set to benefit from the financial crisis as its competitors may find it harder to weather the storm.

According to Forbes.com, Google's stock has been halved by investors since the beginning of the year over fears that spending on online ads will slow during the credit crunch.

However, it noted that the top internet search engine is faring better than many of its competitors.

This could help Google to increase its dominance of the sector and cement its position as the lead in search marketing.

Yahoo's recent figures revealed that its third quarter earnings fell by 64 per cent, a development that could see 1,500 jobs lost.

While Yahoo may be forced to lay off workers, Google employed an additional 519 people during the last quarter.

This growth is a quarter of what it was at the same time last year but the company is still expanding.