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Treating Subdirectories (Folders) as Subdomains

At last week’s PubCon search marketing conference in Las Vegas, a question was raised to Matt Cutts regarding Google’s treatment towards subdomains and subdirectories, also known as folders. Just to recap on convention, we have, subdomain.yoursite.com/subdirectory.
It turns out that an algorithm change was actually implemented weeks ago regarding this issue, and that subdomains of a [...]