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Search engines used to use just the text on a web page in order to rank a web page. However web publishers began adding keyword phrases in a way to help rank their pages.
Not all pages that ranked were relevant, resulting in a poor user experience.
Information retrieval researchers began work on new ways to identify relevant web pages, particularly with links.
Search engineers noticed that the best pages on the Internet tended to accumulate links.
The more links a site had the more important it tended to be. Conversely, the less links a site accumulated the less important it was judged to be.
Links were (and continue to be) counted like vote.
Modern search engines today use a combination of AI, machine learning, links and page analysis to rank websites.
An important change with how sites are ranked is that the kinds of links that are used for ranking purposes have been narrowed down to the most relevant.
The goal has always been to count links that are meaningful to the content they are linking to.
Not to complicate matters, but there is also a thing called link ranking that may be in use, a method to rank the links themselves.
By ranking links, popularity and relevance can be more accurately measured.
Links that are paid for and not the result of an editorial decision tend not to count.
Search engines continue using links as a way to measure popularity and authority. However it’s no longer enough to simply acquire links to assure rankings.
Because web publishers have employed a number of schemes to increase their rankings, search engines have improved their algorithms in order to ignore artificial links (example: advertorial guest post links) or non-relevant links (“powered by” links).