What Google's mobile phone dilemma.
Driven by sales of mobile search because the search giant has exploded in the fourth quarter for ad clicks rose - but the amount advertisers pay Google for clicks to slide further. Google Motorola is also lost money in your business.
Google, advertising sales divided, excluding revenue with partners, $ 11.3 billion in the fourth quarter increased 39%, he said. Net income up by 6.6% over the previous year, increased to $ 2,890,000,000th Google (GOOG, Fortune 500) shares rose 5% in after-hours trading.
Accumulated Google paid clicks by 24%, but the cost-per-click by 6% compared to last year - the fifth consecutive quarter in which the average cost fell clicks.
Apple (AAPL, Fortune 500) and do a search deal, Thanks a million Android devices, so that one day, Google 93.3% share of the U.S. mobile market, according to market research firm eMarketer, online advertising, search reporting. This is an impressive achievement, but all less than 2 billion U.S. dollars in market value, says eMarketer.
According to eMarketer, Clark Fredricksen, "Advertisers are not comparable to desktop and mobile users are reluctant to become for each click on your mobile phone prices less than their desktop counterparts are likely buyers are to pay."
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But we are beginning to change their behavior and mobile devices that consumers are increasingly willing to buy to go, he said.
"The difference between the devices is becoming less pronounced," Nikesh Arora, Google's chief business manager, told a conference call with analysts.
CEO of Google, Larry Page, "a long-term problem," he said in an interview, but he did not expect to lower the issue of cost-per-click cost per click, to predict when it would be in line with the general growth of clicks.
Google continue to live in the area. Mobile ads are an overwhelming influx of users, the manager of the company, the company said, the number of ads on your site mobile search has changed the rules to reduce this month. Although Google's clicks, ads, and a higher cost-per-click in the coming quarters would be a way better quality reduced.
End up on Google's mobile search is not difficult. Motorola mobile business quarter of $ 353 million lost. Patrick Pichette, CFO of Google Motorola restructuring of the company "a lot of progress", but it is important that the financial results of Motorola said it expects "for a while."
"We care about efficiency, we are working with Motorola is not to lose money to work," Pichette said. "It is in the nature of the restructuring is the only domestic animal."
Outsourcing manufacturing, including Google, Motorola laying off 4,000 employees and a cable from the sale of part of the changes made.
Investors account for over 90% of the company sales are not relevant to Google for growing businesses looking to be concerned about the process. However, at a meeting with analysts, the company's other businesses is a perfect example of how to continue to reap the benefits of investing called.
To reach 1 billion views on YouTube, the first "Style Gangnam" music video, advertising rates generated $ 8,000,000, Arora said. A portion of this revenue went to video creators.Thank you CNN From Reetime news Technology.
