Why would Google make this acquisition if there was no value in the product, if they intended to do nothing similar, if they could make no use of the work done to date, of the outcome of the experiment, of the experience of the team?
They wouldn't. Google just acquired the leading experts at monetizing search on the iPhone. Can't you see the value in that for Google from many angles?
Everything Google does has to fit Google's scale - and that is at odds with architecting a product at a startup. So you rewrite it, you get the new DNA incorporated into existing product lines, and you move forward.
