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disolitude on 30 January 2013
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mrstickball said:
disolitude said:
That's quite impressive. Shows that open platform is the way to go if you want to get market share.

If you want profits though...that's a different story. Talk to Google how much they have made on this huge Android success in terms of device sales revenue and store app sales.

Comparing the last financial reports:
Last quarter Apple made 30 billion revenue on iPhone alone (not counting ipad and mac revenue).
Google made "up to" 800 million revenue on Android. They don't give the exact number.

I wouldn't be surprised if Microsoft made more money on Android than Google by licensing patents. I'm actually pretty sure they did.


Somehow, I doubt that's the whole picture.

Google is a search engine company turned into 1,000 other things. I doubt that they're including the revenues from Android-based searches on that figure (and what about their AdMob acquisition?).

Don't get me wrong, I'm sure Apple makes more money than Google does on smartphones, but I think that Google is thinking longer term in all this as well as what value Android brings to their other services.

I agree that they most likely don't include the advertising revenue made on mobile when they report revenue for Android. In a few years the desktop to mobile shift will start improving mobile CPM's and opening up more advertisers to the idea of paying for a mobile campaign (building a mobile working site too as without that there is no point of advertising on mobile).

Admob is a great buy for google which also gives them solid future growth possibilities. For those that dont know, admob is their mobile SDK platform which allows publishers to deliver ads to their mobile sites and apps through google ad backfill service. Essentially it's like Adexchange on the desktop and infact it will be all called Adex within a year as they are killing the admob brand.

All these things will pay off in the future but at the moment, mobile advertising revenue is very small despite the massive penetration of Android.