Google's Ad Model Makes Fees Difficult for Competitors

CNET: Yahoo promotion upgrades e-mail for some

In a move that suggests that Google's success in selling out its ad inventory may erode its competition's chances to keep charging subscription fees, Yahoo began experimenting with offering for free email storage space it sells for $49 per year. The move comes immediately following the launch of Google's Gmail, a service that offers a very large amount of storage for free, to be supported by targeted advertising. Yahoo denied any correlation between the Gmail release and the new, limited-scope promotion.

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Google's Ad Model Makes Fees Difficult for Competitors

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