Andy reports that Ask Jeeves and Lycos is getting into the SEO business. Andy is not worried for his company, Keyword Rankings. He said:
I don't see a threat here for anyone other than very bad SEO firms. The good ones will still find plenty of clients. Besides, the search engines already offer PPC management solutions, yet PPC management is still being outsourced to third-party, impartial, SEM firms. The same will happen with SEO.
Some of the forums already picked up the news and are discussing it now. Over at I Help You Forums Kal lists the two pages to find these servers, Lycos's Site Side Optimization and Ask Jeeves Direct Marketing Solutions. Lycos clearly lists out the prices on a per page basis, Ask Jeeves does not. If you had a dynamic site with 100,000 pages, it can get pretty expensive.
I think someone asked why don't the search engines sell SEO services at one of the last conference I attended. I thought it was a no brainer, and so did the people who answered the question on the panel. It would be a conflict of interest for a search engine to provide SEO service.