I just noticed a new feature that Google has added to their AdSense ads. They are highlighting advertisers that also use Google Checkout.

In the above screen shot of a recent AdSense ad running on this blog, you’ll noticed the two middle ads have a Google Checkout shopping cart icon next to them. Hovering the mouse over the icon displays the message, “This site accepts Google Checkout.”
This looks like a very creative way to get advertisers and consumers to sign up for the Google Checkout service. Google is also offering a $10 bonus for consumers to sign up for a Checkout account. The bonus can be spent at participating stores using the Checkout service.
It looks like Google just escalated the battle with eBay’s PayPal.
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