Google has launched a service which will challenge Skype’s dominance in the voice over IP communication project. The product comes in the form of Gmail chat which allows Gmail users to text chat with over internet connections but now also use voice chat and even see each other via video connections. (reported on bbc blogs)
This is a serious challenge to Skype and even more-so given the fact that Skype has struggled to monetise its service since its buyout by eBay.Google should have no such problems, even if it is only through Adsense text ads, it will be monetising this new solution. Also, if the only thing that this new Google initiative does, is to encourage more people to use Gmail, then Google also wins. As it is able to monetise these users through Adsense and CPM advertising.