Here is a good article I found on it and I think I like his concluding remarks…
“Would you rather create unique and valuable content to promote your blog or would you rather create the same unique and valuable content for use on your blog?”
It sounds pretty unanimous. It is easily detected, not worth the effort that could go elsewhere. I wonder how this comes into play with people that aren’t trying to game the SERPs though. Say you had a facebook, twitter, blog etc and they all linked back to the main money making site, would the search engines look at this the same way?
No – this would not be the same concept. FB links are nofollow’d and even run through redirector which pass no value. Are SE looking at this … IMO yes. They are really trying to understand the relationship of Social Networking sites and how the relevancy is related to other people linking to your site. With Social Media .. yes, we may be using it somewhat to game the engines, but it is not the same, because the vast majority of users are not attempting to do this. Most social networks have technical solution to stop spammers fro using them to game the engines.
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