Google’s Ad revenue from Mobiles alone could come close to US$ 6 Billion reveals a new research from Cowen. Jim Friedland, an analyst with Cowen speculates that Google generates about US$ 7 per Phone and Tablet per year through the search and display advertising last year. These advertisements are displayed in mobile apps on both Android and iOS (iPhones and iPads) & also alongside search results. These analyses coincide with CEO Google Larry Page’s announcement last Thursday that “Google’s mobile ad revenues program was standing at a $5 billion annualized run-rate”.
Joining the dots, we can see that Google hopes doubling of revenue from last year’s US$ 2.5 Billion to this year’s 5.8 Billion Dollars.
Well, last year, the estimated total number of smart phones was pegged at 509 Million. This year the figure is expected to almost double at a whopping 914 Million by end of 2012. Since Google’s Search is universal across all OSes, apart from it Android, the ad-revenues too will see a proportionate increase. Further, with more & more smartphones on both the sides of economy gaining rapid entry into the economy, Google, just might surpass even this figure & manage to break the US$ 7 / device barrier.
Is India a contributing factor to this?
Yes of course. India’s mobile population is growing at a phenomenal rate. Though there are few blank spots, adoption of GSM technology is astounding. Further, many cheap & innovative devices that run on Google’s Android OS are being introduced & lapped up in the market. With Google search baked right into it, such devices can very well be the driving force behind Google’s revenue jump. Further, Google recently introduced free WiFi for its users in India. We guess, companies could do well, to opt for Google instead of its competition.
Do you regularly use Google Search from your Mobile? Share with us your experience.