Google Launching Groupon Killer (GOOG, LOCM, SPMD)

It looks like Google

doesn't need Groupon after all. With the $6 billion saved by not purchasing the online coupon giant, as reported

on Benzinga, Google is now slated to launch

version of Groupon: an online savings site called Google Offers. Mashable first reported this news last night, which Google has all but confirmed by providing the following statement: “Google is communicating with small businesses to enlist their support and participation in a test of a pre-paid offers/vouchers program. This initiative is part of an ongoing effort at Google to make new products, such as the recent Offer Ads beta, that connect businesses with customers in new ways. We do not have more details to share at this time, but will keep you posted.” In December 2010, BuyWithMe interim President David Wolfe said that he thought Google needed to enter the coupon advertising market, but declind to comment on Google's specific plans. Now we know those plans. Google Offers would pose a serious threat to both Groupon and local advertising companies like Local.com

and SuperMedia

. Traders will be closely watching Local.com and SuperMedia today, especially if fear-driven selling warns that Google will take away their market share in 2011.