Google’s Search for “Revenue +Diversification”31 Mar

Cross-posted from faberNovel’s blog:

Google Search

Seth Weintraub (Fortune) explains why Google is less and less a search company:

  • Google generates less than 70% of revenues from search, and it’s decreasing.
  • YouTube revenues are growing very quickly, and has the potential to “push search-related revenues below 50%”.
  • Google said that its Apps business “is growing faster than any other major cloud business” (they earn 50$ /user/year, plus a 20% commission on its Google Apps Marketplace).

Google made a very clever move regarding copyrighted content on YouTube: the company checks all videos against a database of copyrighted contents. If a match is found, the company gives copyright holders the opportunity to share revenues on ads and affiliation (YouTube adds links to iTunes & Amazon), or to remove the video.

Facts & figure about Content ID:

  • The majority of copyright holders choose to monetize their claims
  • 100m videos has been monetized thanks to Content ID
  • 100 years of video are scanned every day
  • Google’s database is one of the most comprehensive in the world

As a conclusion, Google should be considered a city of products, rather than a castle protecting search.

In such a metaphor, Android is the road that ties all products: it is the best way to use Google Apps, it has a mobile client, direct upload to YouTube, facilitated access to many of Google’s social and location services… While the author does not mention it, Chrome’s goal is identical: the browser and Android are yielding a seamless experience to Google’s users.

Google City

Sources:

One Response to “Google’s Search for “Revenue +Diversification””

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