It looks like the search engine giant can safely hold onto its crown as the largest internet company in the holy land. After reporting unprecedented earnings for the first quarter, it looks as if Israel has officially become Google territory, at least as far as advertising goes.
(Globes Online) The sources add that in the first half of 2007, Google Israel's revenue reached $25 million, an amount identical to its revenue for all of 2006. It is estimated that Google Israel's revenue will reach $45-50 million by year's end. [...]
These figures have made Google Israel into the largest internet company in Israel, beating out Walla for the title. Walla's first quarter revenue was NIS 27.1 million.
After previously being dethroned by Google, Walla! had decided to fight back by launching its own pay-per-click advertising system in order to recapture lost ground to the Google wonder.
Despite being a little late in the game, Walla! is probably determined to overtake the internet Goliath, although if that ever happened Google would probably buy them out.