I'm not playing a troll game. You made an assertion and I would like a link where the numbers can at least be estimated. I've never seen them break out their mobile revenue and even if they did, it would also include revenue from iphones as well.
I didn't make the assertion, I only accepted it! I just don't want to see this forum descend to the point where you can't even quote an analyst because 'the company never posted that!'. Apple is clearly making the vast majority of profits in the handset market, but Google is clearly doing handily too.
Remember, Android itself may be free but the Google Apps that come with it aren't. I'm pretty sure that the handset makers have to pay for them, which is part of the reason that Google forced Moto off Skyhook.
I didn't make the assertion! I just don't want to see this forum descend to the point where you can't even quote an analyst because 'the company never posted that!'.
Sorry that I attributed the assertion to you, but the person who did assert it did not quote an analyst. S/he just stated it as fact. I have only read where Google stated that they had made $1 Billion off android in a 6 month period and was curious if there was new information.
What happened to Apple posting their iphone profits every quarter? You wrote that - it's in black and white. Please back that up. Im willing to learn. It's a losing battle indeed for you when you make up facts and are caught doing it.
*sigh*I guess it is some comfort to know that your entries will be so much more abbreviated and tolerable now. *ignore*
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Let's not play the troll game It's pretty clear from their profits trends that Android is working well for Google. Unless you think that their desktop search suddenly got drastically more profitable for some reason.
Cloudgazer, every indication from Google's report last October (the only time Goggle has provided investors with an actual breakdown of revenue for the company) shows that 96% of the company's earnings are from ad revenue. That was 7.29 billion in revenue for that quarter. In fact they stated "And in mobile, where Google has been particularly active in promoting its search engine and other applications along with the Android operating system(emphasis mine), the company is on track to bank $1 billion in annual revenue." Note please that that was for ALL mobile not just Android, and that of that Apple's ad hits play a singificant role, and it was predicted to produce just 1 billion for the year. If you add 3 more quarters of that performance (conservatively) that results in revenues of 29.16 billion for the year, of which that total of 1 billion for all mobile operations (not just Android) is only 3% of revenue for the year.
And let's also remember that Google gets ad revenue from Apple devices, where Apple doesn't get any ad revenue outside of its own iAd effort, so part of that mobile ad revenue reported by Google is coming from Apple products. That reduces the overall impact of Android even further when you weigh that into that "billion" reported for yearly total mobile revenue. Moreover, Google PAYS the handset makers a portion of the ad revenue made on Android driven handsets as incentive to use Android - beyond just providing it for free. After all they have to offset somehow the licensing fees being required by Microsoft to not sue the handset makers for their use of touch technology claimed by Redmond.
(fecklesstechguy): Correct me if I am wrong, but doesn't Google also pay a portion of its mobile ad revenue and app revenue to Verizon as well?
...I didn't see where they were paying Verizon as well - but it wouldn't surprise me. I'll see if I can find that reference out in the intertubes. What's important to realize is that both Chrome and Android are simply means to an end - just like Gmail, Google docs and all the other projects they offer for free - ad revenue. It is the core (remember 96% of revenues) of their business, and the reason for their profitability. Which means that at such point as Android fails to add ad revenue value for Google it will be sunsetted, just like any other irrelevant project they have had in the past.
On a similar note, with the FTC investigating their search and ad business you can bet that Google will pull out the stops to disarm that investigation as quickly as possible. You don't attack the core of their business model without getting a reaction. Look to see Google pull all kinds of strings to make that disappear. There's good reason they pay lots of money on lobbying in DC to protect their interests.
After a little googling, it looks like I was a bit confused on the revenue arrangement between verizon and google. It appears that Google pays/paid Verizon to be the default search engine and not direct ad revenue although that would still be a cost to their overall mobile strategy.
I don't think Google would just up and drop support for Android despite losing money because not only would it be a huge embarrassment, but it would piss off a lot of partners they would need for other ventures.
Comments
I'm not playing a troll game. You made an assertion and I would like a link where the numbers can at least be estimated. I've never seen them break out their mobile revenue and even if they did, it would also include revenue from iphones as well.
I didn't make the assertion, I only accepted it! I just don't want to see this forum descend to the point where you can't even quote an analyst because 'the company never posted that!'. Apple is clearly making the vast majority of profits in the handset market, but Google is clearly doing handily too.
Remember, Android itself may be free but the Google Apps that come with it aren't. I'm pretty sure that the handset makers have to pay for them, which is part of the reason that Google forced Moto off Skyhook.
I didn't make the assertion! I just don't want to see this forum descend to the point where you can't even quote an analyst because 'the company never posted that!'.
Sorry that I attributed the assertion to you, but the person who did assert it did not quote an analyst. S/he just stated it as fact. I have only read where Google stated that they had made $1 Billion off android in a 6 month period and was curious if there was new information.
What happened to Apple posting their iphone profits every quarter? You wrote that - it's in black and white. Please back that up. Im willing to learn. It's a losing battle indeed for you when you make up facts and are caught doing it.
*sigh*I guess it is some comfort to know that your entries will be so much more abbreviated and tolerable now. *ignore*
Let's not play the troll game It's pretty clear from their profits trends that Android is working well for Google. Unless you think that their desktop search suddenly got drastically more profitable for some reason.
Cloudgazer, every indication from Google's report last October (the only time Goggle has provided investors with an actual breakdown of revenue for the company) shows that 96% of the company's earnings are from ad revenue. That was 7.29 billion in revenue for that quarter. In fact they stated "And in mobile, where Google has been particularly active in promoting its search engine and other applications along with the Android operating system(emphasis mine), the company is on track to bank $1 billion in annual revenue." Note please that that was for ALL mobile not just Android, and that of that Apple's ad hits play a singificant role, and it was predicted to produce just 1 billion for the year. If you add 3 more quarters of that performance (conservatively) that results in revenues of 29.16 billion for the year, of which that total of 1 billion for all mobile operations (not just Android) is only 3% of revenue for the year.
And let's also remember that Google gets ad revenue from Apple devices, where Apple doesn't get any ad revenue outside of its own iAd effort, so part of that mobile ad revenue reported by Google is coming from Apple products. That reduces the overall impact of Android even further when you weigh that into that "billion" reported for yearly total mobile revenue. Moreover, Google PAYS the handset makers a portion of the ad revenue made on Android driven handsets as incentive to use Android - beyond just providing it for free. After all they have to offset somehow the licensing fees being required by Microsoft to not sue the handset makers for their use of touch technology claimed by Redmond.
(fecklesstechguy): Correct me if I am wrong, but doesn't Google also pay a portion of its mobile ad revenue and app revenue to Verizon as well?
...I didn't see where they were paying Verizon as well - but it wouldn't surprise me. I'll see if I can find that reference out in the intertubes. What's important to realize is that both Chrome and Android are simply means to an end - just like Gmail, Google docs and all the other projects they offer for free - ad revenue. It is the core (remember 96% of revenues) of their business, and the reason for their profitability. Which means that at such point as Android fails to add ad revenue value for Google it will be sunsetted, just like any other irrelevant project they have had in the past.
On a similar note, with the FTC investigating their search and ad business you can bet that Google will pull out the stops to disarm that investigation as quickly as possible. You don't attack the core of their business model without getting a reaction. Look to see Google pull all kinds of strings to make that disappear. There's good reason they pay lots of money on lobbying in DC to protect their interests.
I don't think Google would just up and drop support for Android despite losing money because not only would it be a huge embarrassment, but it would piss off a lot of partners they would need for other ventures.
Slink away? Talk about premature ejac.
lol...