vrijdag 12 februari 2010

Misconception on Google's revenues

In the article Is Google moving too far (from search) too fast? there is a misconception:

That expansion has some analysts wondering whether Google is in danger of losing focus on what made it such a profitable company, even as those same analysts say it can't rely on search as its only avenue for making money. Right now, Google relies on search for 95% of its revenue, according to Karsten Weide, an analyst with IDC.


Google does not rely on search for it's 95% revenue. They rely on advertisements (Adwords / Adsense) around there search product on the internet. They do not sell their search service, they sell space for advertisements.
Of course they are trying to get into the enterprise where they will be making money with their search product, the GSA. But for now, those sales are just a fraction of the rest.

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