Google is all set to spread its arms in the territory of local sales advertising. It plans to launch "Google offers" through which local businesses can advertise its products with its mouthwatering discount offers. It is expected to fetch a good number of revenue for Google. It is coming out with its beta version in Portland, New York and San Francisco.

"Google offers" function more or less like Groupon. Users receive an e-mail with a local deal of the day. They then have the opportunity to buy that deal within a specific time limit. It will also provide users the ability to subscribe to location based deals and as the beta launch reads. One can expect best discount as well.

Google is communicating with small businesses to enlist their support and participation in a trail for a pre-paid 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.

"Google Offers" will be powered by Google Checkout. It also includes Facebook, Twitter, Google Reader, Google Buzz and e-mail sharing options.

The Internet giant was supposed to buy Groupon at a staggering price of $6 billion.

Groupon is a Chicago based internet coupon service which records users around 35 million. Groupon is a group buying website that features different deals daily in various locations. It is present in most geographic markets around the globe including India. It walked away from Google acquisition as the acquisition fell due to hesitation by Groupon's founders. Groupon would have helped its new owner expand in the $133 billion U.S. local-ad market and lessen its reliance on Internet-search advertising.

Amidst all the confusion Google decision to come out with its own clone of Groupon is a very bold one. This may posed a serious threat to the very existence of Groupon. With already well established brand name and also being the largest search engine it is sure to grab the market fast.