Google was once invincible and unable to make a mistake. Well, although its share price is not what it used to be, one can argue they're still invincible in most areas they've dabbled in, but the mistakes and flops are now piling up.
Jaiku has not officially flopped yet. But, the fact remains that after acquiring the service back in 2007 Google has done absolutely nothing with it, while Twitter - Jaiku's direct competitor - has grown immensely. Hell, even other competitors in the space, such as Pownce, have experienced better growth than Jaiku, which can be seen from the Compete traffic comparison below.
No innovation, no new features; in fact, after the service was acquired by Google, its official blog has had only two updates: one to say that the service is back up, and another to warn about maintenance downtime. Perhaps Google has something huge in stock for Jaiku, but from what can be seen on the surface, it's going nowhere.