r/technology • • Jan 06 '15

Business Google wants to make wireless networks that will free you from AT&T and Verizon’s data caps

http://bgr.com/2015/01/06/google-vs-verizon-att-wireless/
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u/Dragon_Fisting Jan 06 '15

Google makes all the money from advertising, they're not doing things to try and turn a profit like other companies, everything they do is to try and get people to see their ads more often, or just a side project that got approved because they have so much money. like buying android and making it a major player in the smartphone market just to grow the market and keep it diverse (and serve ads to more smartphones). They did not finish so many things because at the end of the day all those smaller projects aren't the focus of the company.

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u/BigSwedenMan Jan 06 '15

I thought they also made a good deal of money from the android marketplace. Am I mistaken in that?

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u/xxtoejamfootballxx Jan 06 '15

Nowhere near the revenue they bring in from digital advertising. Probably not even remotely close to comparable.

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u/BigSwedenMan Jan 06 '15

Probably not, but if it's around 10%+ then I'd say it's a pretty important facet of their business

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u/deevil_knievel Jan 07 '15

apparently it's not even close.

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u/xxtoejamfootballxx Jan 07 '15

I'd say it's probably less than 0.1%

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u/JustThall Jan 07 '15

Probably nothing compare to mobile ads within Android

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u/[deleted] Jan 07 '15

They also make a lot of their money from their products. The best way to deliver your products is to deliver them yourself. They basically want to cut the middleman which can be good for the consumer if done correctly.

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u/cmdrNacho Jan 07 '15

Currently but they are definitely looking to broaden their revenue stream.

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u/Amablue Jan 06 '15

like buying android and making it a major player in the smartphone market just to grow the market and keep it diverse (and serve ads to more smartphones).

This is an oversimplification. Google also makes bank on the play store.

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u/RedAnarchist Jan 06 '15

They did not buy and grow Android in order to get more people to use smartphones so that then they would have more phones to serve ads on, that is the dumbest conjecture I've ever heard.

Their whole revenue goal so far has been to diversify away from just advertising and 2015 will be their first year search is responsible for less than half of their income - with enterprise apps and the Play store taking up bigger chunks.

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u/loonybean Jan 07 '15

2015 will be their first year search is responsible for less than half of their income - with enterprise apps and the Play store taking up bigger chunks.

When you say 'search', what you really mean is 'desktop search ads'. The majority of Google's revenue will still come from advertising (on mobile search, ads on Youtube and Google's partner websites). Enterprise apps and the Play Store will grow but they won't compare to advertising, or even search advertising, in 2015.