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Google

Google increased the revenue in the months July, August and September 2010 compared to the same months in 2009.
The total benefits these three months reached $ 2,170,000,000.
The total income was $ 7,290,000,000.
One of the directors of Google, mr Eric Schmidt, called those three months: 'Excellent.'
Google spends a lot of money for new developments.
Google is active with mobile phones, internet television and self driving cars.

http://www.catholic.org/news/technology/story.php?id=38753

Actually this means almost 1/3 of the income is revenue for Google. This means that the effort Google makes to earn money does't have a rate that occurs in most other companies. This means the costs Google makes to earn its revenue are pretty low compared to the income and the revenue. One can argue that this means that the rates of Google are too high. According to these figures Google charges too much for its business and its services. The costs for Google advertisments seem to be low. Because a low of amount of money is asked for 1 click and 1 text advertisement. But with a big amount of clicks and a lot of times the advertisement is shown the costs for the company that wants to advertise with Google advertisements are soon very high.

The same thing can be said about Microsoft. Comparisions of the two companies Google and Microsoft show some alikenesses. Both companies have a sort of monopoly on their markets. And both companies ask a lot of money for their products and their services compared to the costs the two companies make to earn their income.

The future for both companies look the same. It seems hard for a competing company to become bigger then Google and Microsoft. The discovery of a new search engine will take a lot of time and expenses. And building a new operating system and the introduction of it is not something that seems to happen in the very nearby future.
Edited by zenia (see edit history)

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Hopefully, if the two giants Microsoft and Google start competing against each in terms of investing in new technology, products and services, it would mean that we consumers will start getting more innovative and usable applications and devices. In the past, the lack of competition has meant that we have received less and less innovative and engaging products, and just more and more of the same products that have been relabeled with new names but lacking in any new features that make the products worthy of the price consumers are paying for these supposedly 'upgraded' and 'newer' versions of the same products.

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Hopefully, if the two giants Microsoft and Google start competing against each in terms of investing in new technology, products and services, it would mean that we consumers will start getting more innovative and usable applications and devices. In the past, the lack of competition has meant that we have received less and less innovative and engaging products, and just more and more of the same products that have been relabeled with new names but lacking in any new features that make the products worthy of the price consumers are paying for these supposedly 'upgraded' and 'newer' versions of the same products.

I'm a lot less concerned about the death of innovation and imagination when it comes to Google. They've done some silly things in the past, but they have a ridiculously good track record for pouring money into any pursuit that seems even remotely inspiring. Microsoft, on the other hand, seems much more interested in the profitability of potential projects, though they have been known to break this mold from time to time.

I honestly think that the rampant profitability of Google, Inc. is doing more good than harm.

:P
-JD

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In recent times, bing (microsoft's most popular search engine) has developed tremendously. It is continuously attracting new traffic and providing a tough competition to google. This works very well for the benefit of customers. I would like to give one example here. We all witnessed the recent update in google algorithm. According to this update, google has devalued content farms in its search results which means that content farms are now ranked much lower than they used to be. These content farms included huge websites like ezinearticles, hubpages and squidoo etc. It should be appreciated that these websites were among the top adsense earners which indirectly means that google earned a lot of revenue through displaying ads on these websites. But because of increasing popularity of bing, google had to do something to improve user experience and to keep its users happy. For this reason google was forced to do this upgrade. This is an example of how competition can cause a good user experience and how it can benefit consumers like us.

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