Adsense and Affiliate programs

Google's new adsense is creating alot of interest and many publishers have decided to run with them instead of affiliate program banners. This will begin to hurt some affiliate merchants and certainly the affiliate networks will feel the pain.

But will it be the end of affiliate programs? I think not. I do however predict that in the future we may see more affiliate programs that look for closer ties with their affiliates. I would expect merchants to seek out affiliates that are more like real partners rather than just banner publishers. There are more likely to be more affiliate programs that allow for affiliates to use their own branding.