Webmaster tools Site speed?
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Google webmaster tools site performance is reading out at 2.8 and still raising (Going further into the slow pale area) this was in the green fast area for a while until now.
Is this something to be worried about?
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And site speed is based off of those users with Google Toolbar installed. A tool like Firebug with Yslow can help identify things slowing down your site, and can give you another view of your site speed.
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Agreed. Speed is only one of possibly hundreds of factors, and it's a minor one at that.
Speed should be more of a concern from a user standpoint. It can impact bounce rates significantly, and can really hinder the user experience. 2.8 is not very bad, so I wouldn't worry too much.
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Speed could be a problem if it affects the performance of your site to the point of not being user-friendly. 2.8 however is not an alarming speed. I have seen sites with 5 and doing well in results. I rarely ever see websites in green (unless they are total text content only and no graphics and files to call on). I think Google is to lower the bar a bit on site speed expectations.
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