A study released this week (Oct 2008) by JupiterResearch–commissioned by Marin Software, San Francisco–suggests that paid search advertising will become a $26.8 billion business by 2009. The data reveals that 92% of large search marketers would increase their pay-per-click (PPC) spend an average of 22% if technology and management impediments were resolved.

Further, today Google reported that their revenue grew 31% to $5.5 billion, compared with the same quarter last year. Google’s income would have been $1.56 billion, or $4.92 a share, excluding certain items.

Google.com grew 34% to 2.7 billion, driven by steady traffic growth. AdSense rose 15% to 1.7 billion. Global aggregate paid clicks climbed 18%, compared with the prior year’s quarter.

Seems PPC is alive and well.