(Continued)

Noting that Spotlight and Tiger will arrive a year ahead of Longhorn, Jobs quoted one of the promotional banners Apple had hung outside the auditorium: "Redmond, start your photocopiers."

In other developments, the Kelsey Group is slated to deliver an analysis of the major changes that it predicts will happen in the local search segment. The market research firm anticipates seeing a flow of advertising dollars from small businesses with very small ad budgets, and little to no Web presence.

The report comes on the heels of Overture's introduction Tuesday of Local Match, the Yahoo! company's local search product for advertisers and Web publishers. Recent initiatives by Google, Overture, FindWhat, and interactive Yellow Pages (IYP) provider InfoSpace have shifted the search spotlight somewhat from paid search to local search.

"Local" is the next major advertising keyword expected to open the online media floodgates. Local media spending in the United States is over $90 billion annually, according to Robert Coen, Universal McCann's senior VP and director of forecasting.

On Wednesday, it was stated that traditional advertising agencies find search engine marketing is really difficult. Not only is it more complicated than it would appear, but it's also difficult in making it profitable. Companies offering keyword bidding tools have lulled some agencies into a false sense of confidence. "Our bidding tool will make search engine marketing effortless," they were told.

What these companies didn't tell the agencies was that they still needed search engine marketing expertise to use these tools effectively to maximize their clients' results. As a result, many big, traditional ad agencies hate search engine marketing.

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