What is the use of penguin and panda algorithm updation?

The Google Penguin update targets websites and SEO's who used blackhat or spammy backlinks that are in violation of their guidelines to game Google's results and achieve higher rankings. It is one of 200 signals that Google uses to determine rankings.

Google Panda Initial Release Date: February 23, 2011. The stated purpose of the Google Panda algorithm update was to reward high-quality websites and diminish the presence of low-quality websites in Google's organic search engine results.
 
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