Perhaps; they certainly have a very large share of search advertising and its a paid market, but whether they have pricing power is a fact question that I haven't seen strong reasons to believe either way on. Its pretty clear that there are competing places for online, even search-specific, advertising, and that firms make cost-benefit considerations in choosing these; its not clear to me that there is any range in which Google can increase AdWords prices without losing some business to its competitors, even if AdWords is so attractive at its current price point that it draws the vast majority of spending.
Perhaps; they certainly have a very large share of search advertising and its a paid market, but whether they have pricing power is a fact question that I haven't seen strong reasons to believe either way on. Its pretty clear that there are competing places for online, even search-specific, advertising, and that firms make cost-benefit considerations in choosing these; its not clear to me that there is any range in which Google can increase AdWords prices without losing some business to its competitors, even if AdWords is so attractive at its current price point that it draws the vast majority of spending.