Jeremy Palmer has some words of warning regarding Google's latest behavior:
For the last 10 years, Google has been instilling and spreading irrational fear into webmasters. They’ve convinced site owners that any link, outside of a purely editorial link from an “authority site”, could be flagged as a bad link, and subject the site to ranking and/or index penalties.
This fear, uncertainty and doubt (FUD) campaign has webmasters everywhere doing unnatural things, which is what Google claims they’re trying to stop.
Site owners and publishers are now afraid to link to each other because they don’t know how Google might respond to that link. For example, Wikipedia and the New York Times have added the “nofollow” attribute to most of the links outside of their editorial control.
This is bad for the Internet for a few fundamental reasons...
You can probably already think of some. Read the rest of the Jeremy's post for all the details.