Google Revenue Reports Show Promising $1 Billion Mobile Ad Future

October 15th, 2010 at 8:30 am
 


Google has recently reported its earnings for the third quarter of 2010. The online search giant posted us$7.29 billion in revenue for the third quarter which was 23 percent higher than the revenue for the same period last year. But that is not what surprised most people. A lot were surprised that Google expects their mobile ad revenue to become a US$1 billion a year venture, based on the revenues that they generated for the said quarter.

Google has been reiterating for several months that both display and mobile ads would be the future in terms of growth for the company. Now, they may have the numbers to prove it. And with the smartphone market continually growing at a very fast pace, mobile advertising would only continue to become more and more attractive.

It may seem quite surprising for Google to have such high expectations for mobile advertising, considering that it only started on the venture this year. In fact, Google only finalized the acquisition of mobile advertising company AdMob this year. But several months later coming up to the recent financial report by Google, the future looks promising. Before the acquisition, AdMob’s total annual revenue was just under US$100 million. But with the partnership with Google and its global reach and infrastructure, achieving a billion dollar year revenue isn’t that impossible now. Google may have another winner on its hands by staking their share in the mobile ad market this early.

 

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