Google’s business strength was simply taken for granted; so much so that even deep-pocketed competitors like Yahoo and Microsoft stopped trying to outdo Google’s massive scale and core algorithmic know-how.

And that’s why I used to think that Google was unstoppable.

Until I realized one very important thing: despite the fact that Google goes to great lengths to keep its index fresh by indexing pages that often change every hour, or even every few minutes, and despite its efforts at realtime search (including searching the Twitter firehose), its dominant dataset is dead, while the Web is—each day more so than the last—vibrantly and energetically alive.

Indeed, Google’s revered and unparalleled dataset is increasingly dating itself as an ossified relic akin to the Dead Sea Scrolls—outshined by the freshness of the living, breathing organism that is the social Web.

Like dusty and determined archaeologists, Google’s massive bots crawl the Web looking for the artifacts of digital civilization. And what they find is fossils—in the form of pages and links: the leave-behinds of writers, contributors, and casual end-users who have deposited traces of themselves in the skinny crevices and dark recesses of the Internet. Google analyzes these remains, and yet it has almost no first-hand knowledge of any of the users who created this content—or those who are searching for it.

Enter Facebook.

Since its founding in 2004, Facebook has focused on enabling social connections, not on search. And yet, in the process, Facebook has created a platform that knows more than 600 million people, complete with identity, interests, and activities online. The company’s relentless and organic expansion—from an application to an emergent social operating system—has enabled it to know its users, not only on the Facebook.com domain, but also on other sites, as they travel throughout the Internet.

While Google has amassed an incredible database consisting of the fossilized linkages between most Web pages on the planet, Facebook possesses an asset that’s far more valuable—the realtime linkages between real people and the Web.

What does this mean, and what are the implications here?

Well, in a nutshell, Facebook has stored a treasure trove of distinctive data that, if fully utilized, could put Google out of business.

I don't think this will happen, but I think it is possible.

Because Facebook is clearly concerned with user privacy, it’s partnered up with crowdsourced reputation management service Web Of Trust today in order give its population of almost 700 million users protection from links deemed “risky” by the Web Of Trust community.

As of today, if a user clicks on a link with a poor Web of Trust reputation rating, they will see the above warning telling them that the link has been classified as abusive. And then they can either circumvent the link, learn more about the Web of Trust rating or continue browsing.

I am quite pleased with this news.

I’ve been patient with Facebook over the years as they’ve had their privacy stumbles. They’re forging new ground, and it’s not an exaggeration to say they’re changing the world’s notions on what privacy is. Give them time. They’ll figure it out eventually.

But secretly paying a PR firm to pitch bloggers on stories going after Google, even offering to help write those stories and then get them published elsewhere, is not just offensive, dishonest and cowardly. It’s also really, really dumb. I have no idea how the Facebook PR team thought that they’d avoid being caught doing this.

Bad form indeed.

Have you ever bought a Facebook ad? I have. I have talked to many, many people who have. We have spent hundreds, many have spent thousands or even more, experimenting with Facebook ads. They are worthless. Nobody ever looks at them, and nobody ever clicks on them. I just talked to someone who was trying to promote a book. He found it cost him over $100 in ads to sell one book. Moreover, as you increase your ad spending, people get used to the ads and just ignore them. So, your already low click-through rate plummets even further.

Interesting take.

This afternoon Facebook saw the first improvement to its photo application thanks to its recent acquisition of Divvyshot: the addition of face detection to photos. Now when you upload photos to various areas of the site, including the homepage, you should be able to instantly tag your friends without clicking on them in the actual photo. Instead, the system will automatically detect faces in the photos and prompt you to select the friend who’s face it is.