I sure hope it’s not a faux pas to ask this question?  After all I rely on Google to rake up my tags and keywords.

How is Google doing.  I know everything on the surface looks fine.  Stock is down, but everyone’s is.  In this time of perception is huge is Google pulling in the reins?

Check out this story from CNET: Google’s free SMS gravy train dries up. Don’t get me wrong here.  One story does not a rumor make, but I also received the email below from Google.

We’re writing to let you know that on May 5, 2009, Google
Checkout’s transaction processing fees will be changing. We’ll be
transitioning from our 2.0% + $0.20 per transaction rate to a new
tiered fee structure, where the rates will vary depending on the
dollar amount of your monthly sales processed through Checkout.
The rate you’ll be charged beginning on May 5, 2009 will be based
on your sales processed through Checkout during the month of April
2009. Each month thereafter, we’ll continue to use the prior
month’s sales volume to determine your transaction processing
rate. For more details about the new rates, please visit
http://checkout.google.com/seller/fees.html

This announcement raises rates as much as 0.9% and +.10cts per transaction.  I understand these rate are still low when comparing them to other credit card processors.  To see such and increase from Google surprised me a bit.  The email also advised that Adwords transaction fees are no longer free.

We’ll also be discontinuing the AdWords free transaction
processing promotion on May 5, 2009. Any AdWords transaction
processing credits accrued during April 2009 will be applied
towards transactions that occur on May 1-4, 2009.

Why is Google making chnages like a normal business.  This is very unlike them.

[via CNET]