Google Announces Their Adsense Margins



68% huh. Not sure how much I believe that, but I've never seen them publish a number before, so who knows really. I always figured it was under the 50% mark.
 
68% huh. Not sure how much I believe that, but I've never seen them publish a number before, so I guess it could be close to that. I always figured it was under the 50% mark.

Sounds plausible to me, figure maybe 15-20% goes to infrastructure and R&D costs and the rest is profit. I don't see any reason not to believe them, they went 7 years without disclosing it, I don't see what benefit they would derive from lying about it as opposed to continuing to keep it secret if they we're concerned about disclosing the number.
 
I am still not convinced with 68% share for publishers! you know just cannot trust Google.
 
They had these numbers hidden for so many years and all of a sudden "in the spirit of transparency" they want to tell everyone how much rev-share they take? That's interesting...
 
They had these numbers hidden for so many years and all of a sudden "in the spirit of transparency" they want to tell everyone how much rev-share they take? That's interesting...

It's likely because their only real competitor in the space was Yahoo -- and YPN is now shutting down.
 
In any case Google is a publicly traded company - they can't release something like this without it being true-ish.

....which is not to be confused with "true". For example, if an ad publisher deposited $100 in an obscure niche and the local currency took a nosedive in the meantime - which dollar figure do you think they'd use?

Just sayin'....
 
In any case Google is a publicly traded company - they can't release something like this without it being true-ish.

....which is not to be confused with "true". For example, if an ad publisher deposited $100 in an obscure niche and the local currency took a nosedive in the meantime - which dollar figure do you think they'd use?

Just sayin'....

Bingo. Google plays with their numbers big time from Google.com vs Google.jp vs Google.de etc based on currency fluctuations. With the amount of revenue they bring in it makes a huge difference.
 
As with AdSense for content, the proportion of revenue that we keep reflects our costs, including the significant expense, research and development involved in building and enhancing our core search and AdWords technologies.

They make it sound like they are running a charity...


Nevertheless, interesting they disclose these #s.

Something tells me they may be doing this to help their stock price. Investors will catch wind of this, and then ask the company to enhance profits by lowering the rev share %.
 
only one way to find out - run a site on one account, adwords on another, target your own site and click an ad.
 
Something tells me they may be doing this to help their stock price. Investors will catch wind of this, and then ask the company to enhance profits by lowering the rev share %.

If earnings per share was the only motivator you would think they would just take a page out of apple's book and understate predictions so they could blow them out of the water a few quarters later.
 
I don't know if it is related (doubt it) but shit my earning shot up like a mofo today.