{"id":1206,"slug":"adwords-launched-oct-23-2000-350-advertisers","title":"Google AdWords launched October 23, 2000 with 350 advertisers; shifted from CPM to CPC auction in February 2002","kind":"reference","scope":"business","status":"current","audiences":["kevin","smb-owner","candid-team"],"topics":["search-engine-history","serp-features"],"reference_body":"**Claim:** Google launched **AdWords on October 23, 2000** as a self-service program with **350 advertisers**, initially priced on **CPM** (cost per thousand impressions). In **February 2002** Google relaunched as **AdWords Select** — a **cost-per-click auction** where rank was determined by bid *and* ad relevance (later formalised as Quality Score).\n\n**Source:** Google press release, October 23, 2000 — \"Since the beta debut of AdWords earlier this month, the program has seen widespread adoption by approximately 350 businesses and advertising agencies worldwide.\"\n\n**Confidence:** Verified.\n\n**Why this matters for Candid:** This is the moment \"getting found\" gained a second path — *buy* placement. Crucially the relevance-weighted auction meant a small, tightly-relevant advertiser could win prominent placement without outbidding everyone, lowering the entry barrier for SMBs. The \"AdWords forced businesses to pay to stay visible\" framing is interpretation, not documented fact — see [[rule-keep-dates-separate-from-causation-when-citing-google-history]].\n\n**Related:** [[goto-overture-1998-paid-placement-auction-adwords-ancestor]], [[google-2016-layout-shift-4-ads-above-organic-feb-22]].","rationale_body":null,"metadata":null,"links":{"outgoing":[{"slug":"goto-overture-1998-paid-placement-auction-adwords-ancestor","title":"GoTo.com (later Overture), 1998 — pioneered paid-placement auctions; the direct ancestor of AdWords","kind":"reference","scope":"business","link_type":"depends-on"}],"incoming":[{"slug":"research-brief-businesses-found-on-web-google-smb-june-2026","title":"Research brief: How businesses got found on the web — a then→now timeline (Google-focused, SMB lens, June 2026)","kind":"reference","scope":"business","link_type":"relates-to"},{"slug":"google-2016-layout-shift-4-ads-above-organic-feb-22","title":"Google February 22, 2016 layout shift — right-rail text ads removed on desktop; up to four ads stacked above organic on commercial queries","kind":"reference","scope":"business","link_type":"depends-on"},{"slug":"recurring-pattern-google-shifts-early-adopters-win-laggards-lose","title":"The recurring pattern: every major Google shift changed what got surfaced; early adapters captured the new surface, laggards lost the old one — and the pattern is repeating now with AI answers","kind":"reference","scope":"business","link_type":"depends-on"}]},"created_at":"2026-06-18T00:10:55.781Z","updated_at":"2026-06-18T00:10:55.781Z"}