Chances are that the issue that affected AdWords Dominator and other third-party Google AdWords API tools will be put to rest shortly. Patrick Chanezon of Google has posted in the thread that Goran Nagy started that he is aware of the issues caused by the new terms and conditions.

This official statement, from the AdWords API Blog, shows Chanezon stating: "The new terms and conditions seem to cause some concern for developers of open source and commercial third party tools, and we want to address these concerns."

Given the statement issued, it seems likely that a way will be found to allow third-party utilities to be used with the AdWords API.

David Thomas, The Affiliate Marketer

AdSense have a competitor in the shape of Yahoo! Publisher Network, currently in beta.

Have a browse around the net, and you'll soon come across Yahoo's ads. The received wisdom is that Yahoo pays more per click than AdSense does, but with Yahoo the click-through rate is lower, and you more or less break even. (Of course, this is just one parameter that will vary between different sites. If you already have AdSense, it may be worth trying Yahoo and doing some A-B testing to determine which gives you the most money.)

Have you seen the Yahoo ads, though? Quite often the description is truncated, followed by three dots; sometimes the heading is truncated, and even the display URL is sometimes truncated. I've seen ads where all three parameters have been truncated. It's no wonder that Yahoo are getting a lower click-through rate if their ads look like this!

I hope they can sort out that issue, because there certainly appears to be space in their ads for them to do so! It is good that AdSense is seeing some competition, as this means that revenue should go up.

David Thomas, The Affiliate Marketer

AdWords Dominator was released on 21st November, 2005. It's a program that provides an alternate interface to Google's AdWords. It's sorely needed, as it enables you to do everything that you do now, but without the delay that occurs each time you click on a link on the web site.

It may be against the AdWords API Terms and Conditions to run it.

The controversy is sparked by the following extract from the AdWords API terms and conditions:

II. AdWords API Use

2) Non-Compliant AdWords API Clients. You shall not use an AdWords API Client that violates this AdWords API Agreement. For example, you may not use your Developer Token with an AdWords API Client developed or hosted by a Third Party (excluding an Internal-Use Only AdWords API Client developed for you).

You can get the full text of the agreement here.

Goran Nagy, one of the authors of the program, is seen here asking whether he is allowed to sell his program:

"Does Google Allow Development" thread on Google Groups: AdWords API Forum

I asked Chris Lee about this in an email. He has yet to reply. I asked for Google's official statement on the matter. I was told the following:

"Because the AdWords API is a beta programme, our resources are limited and we cannot offer advertiser support at this time. However, for questions about the AdWords API, we suggest that you join our Developer's Forum at http://groups-beta.google.co.uk/group/adwords-api. There, you can discuss any issues concerning the AdWords API with other members of the AdWords API community, read past postings and gain insight about the product. You will also be able to get in contact with experts who can assist you with your question regarding terms and conditions and the software in question via this forum."

A commercial version of the API is planned and will be released on 1st January 2006, under the heading "What is the AdWords Commercial Developer Program?". Click here for more details.

However, there is no mention of how the terms and conditions will be affected.

Is Google mad? What is the purpose of providing an API as a whole, if people are not allowed to use commercial off-the-shelf products with it? I suggest that it is probably safe to carry on using the program if you have obtained it, as if Google don't like it, they are sure to email you first before they stop taking your money! After all, the product will help Google to earn money. If Google do email you and ask you to stop using the program, my recommendation is to comply with their wishes. Certain people have been removed from AdWords for repeatedly breaking terms and conditions.

Let's hope this can all be sorted out, and that it's all a storm in a teacup. I certainly hope Goran Nagy and Chris Lee will not be out of pocket for seven month's worth of development effort.

David Thomas, The Affiliate Marketer

Note: Since this article was written, Chris Lee has managed to get in touch with me. He is awaiting the official message from Google, who have been strangely silent regarding this issue.