It's used here, and I'm sure at other sites simply as a stats tool. Number of visitors, popular search terms, pages, etc. It was the major reason Google purchased Urchin. There's really nothing you can't get from a decent stat tool running locally on the server. However, I read recently that many people suspect it can help a site's search results, and won't harm them. There's also some new features coming soon I wanted to test. Finally, we'll be moving servers soon, and it doesn't hurt to have a third party stats tool installed during the transition. It's been running here about a month, and unless I notice something I can't live without it won't likely be here longer than another month.
Gostats works much better then Google analytics. It keeps the track of number of visitors, pages, bounce rate etc. like Google analytics but in an advance way.
