Is Google gonna save US economy?

Of course not! But at least the good results announced today by Google are reassuring for the web economy.

Google financial resultsGoogle posted today a better-than-expected profit, defying fears the company is facing an Internet advertising slowdown and sending its shares past the $500 mark in extended trade.

The Web search leader, one of the hottest technology stocks of 2007, had seen its shares erase last year’s 50 percent gain since the start of 2008 on investor concerns that the online ad industry was maturing and vulnerable to a U.S. economic downturn.

Revenue was $5.2 billion, up 42 percent year-over-year and up 7 percent from the fourth quarter in 2007. After traffic acquisition costs (what Google pays its publisher partners) revenues directly to Google were $3.7 billion. Net income for the quarter was $1.31 billion, up 8 percent from the fourth quarter.

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