As many of you know, Webby (Alan Webb) is one of the famous SEO Chat moderators. He actually was a moderator at SEO Chat's forum before I became a moderator there. Webby later built his own German speaking SEO forum which is extremely popular. He has found some time to write up his thoughts on the latest Google Update, nicknamed Austin.
Alan believes that the Austin updates is based on a series of new computations, including the old pagerank and something named localrank. For those aware of some of the theories for the Florida update, localrank is similar to hilltop and topic sensitive page rank. Webby believes that localrank is a factor because he feels that to rank well you need to be an "authority site" which is based on expert sites in your page's theme linking to your page.
Alan explains he whole theory in detail in a post at SEO Chat with the name Becoming an authority & recovering from Austin part1.
I feel it is worth while reading and feel free to post your thoughts.