January 23, 2013:Google was a $50bn business in 2012

Google announced its latest financial results last night, reporting revenues of $14.4bn for the final quarter of 2012, up 36% year-on-year. The company’s net income rose 6.6% to $2.9bn for the quarter.

“We hit $50 billion in revenues for the first time last year – not a bad achievement in just a decade and a half,” noted CEO Larry Page in a statement. “In today’s multi-screen world we face tremendous opportunities as a technology company focused on user benefit.”

The transcript of the subsequent analysts call is well worth a read. There are statistical titbits – Google’s top 25 advertisers now spend an average of more than $150m a year – and some good stuff on YouTube.

Viewers watched more than 4bn hours of video a month on the site last year, with YouTube Partner revenues doubling, and the top 100 advertisers spending 50% more than in 2011. “Thousands of channels are now making six figures annually,” said SVP Nikesh Arora.

Oh, and an illuminating nugget on the YouTube hit of the year: Psy’s ‘Gangnam Style’, with Arora saying it had generated $8m in advertising revenues from YouTube.

With 1.23bn views so far, that’s around $6.50 per 1,000 views (or $6.5k per 1m views). A useful marker in terms of making money from music videos on YouTube, to set alongside Cooking Vinyl’s claim earlier this year that it makes $5k per 1m views on the service.


Stuart Dredge
READ MORE: Analysis News
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