Google To Charge For API Use

MediaPost Publications

"IN A MOVE THAT COULD impose significant costs on bid management firms and other search engine marketing companies, Google has decided to start charging on a per-use basis for its AdWords application programming interface, or API, which allows software developers to design applications that send and receive data to and from its keyword ad auction. The new pricing system will go into effect July 1. 'We are changing the quota allocation system and pricing model to create a more flexible and level playing field that encourages efficient coding and application design. Effective July 1, 2006, the current free quota system will be replaced by a usage-based system,' wrote Google product manager Rohit Dhawan on the company's blog. 'As a result, current developer quota caps will be removed in order to provide a more flexible and scalable system for quota allocation and consumption.'

Previously, Google made its API available for free, but limited usage based on the amount of ad dollars being managed. Under the new system, developers will be charged 25 cents per 1,000 times the API is used to call data."