I've used both services, but I think Kanoodle ends up being the better choice for individual web publishers in the long run. Google (GOOG) may have higher revenue per click for web based advertising, but I've been able to make more money from Kanoodle's RSS feed feature.
Unfortunately, most web publishers only think of Google for their advertising features and overlook smaller providers which may provide them with larger checks.
Google may have a dominant hold on providing advertising for small websites but any other provider with better payouts can take Google's market share.
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