Today’s a bad news day for Android manufacturers, apparently. HTC’s February earnings have been reported and things are looking bleak yet again. Earnings dropped 23% from the previous month and 44% from the previous year, totaling around $ 89 million for the entire month. That’s the lowest HTC has experienced in 13 years, which is really bad. It’s […]
Come comment on this article: HTC’s revenue in February drops to its lowest in 13 years
When 2017 opened, Xiaomi was getting over the bump in the road that 2016 had been for the company. Like so many technology companies, Xiaomi succeeded in generating a lot of buzz when they first launched and translated that early success into positive financial results. As they transitioned out of their start up phase though, […]
Come comment on this article: Xiaomi surges past 2017 revenue target setting up for IPO bid
It’s not a well-kept secret that HTC has struggled pretty badly in the financial department for the past couple of years, but every once in awhile they’ll see a nice revenue bump from a successful flagship launch. It seems like that was the case in June, too, thanks to the slick U11. Revenues in June […]
Come comment on this article: HTC U11 sparks revenue growth for the company in June
Sprint has posted some interesting quarterly results, beating revenue expectations. On the other hand, the carrier’s quarterly losses has widened substantially. The better-than-expected revenue seems to come from some hefty discounts and promotions Sprint has been offering in order to reel customers in. With that in mind, the carrier has added 173,000 postpaid customers this […]
Come comment on this article: Sprint posts big quarterly loss, beats revenue estimates
On the same day that Apple revealed it’s improving its revenue deal for app developers, a report suggested Google is planning a similar change, though with one important difference.
The post Google takes on Apple with better revenue deal for app developers, report says appeared first on Digital Trends.
Alphabet reported their 2016 first quarter financial results this past week. Although revenues were up compared to a year ago rising 17%, they did miss Wall Street expectations by the slimmest of margins coming in at $ 20.3 billion versus an expected $ 20.4 billion. Google Inc. still makes up the overwhelming portion of the Alphabet portfolio, but the company’s “moonshot” segments are getting capital support to keep them growing.
For Google Inc., the company breaks things down between the advertising business and all other businesses. If you want to understand why Google positions services and platforms to capitalize on advertising revenue streams, just realize that ad driven revenues accounted for 90% of the $ 20.1 billion in revenue for the quarter. That is a big reason why Google continues to invest in technologies like machine learning and natural language processing in order to ultimately deliver better ads. The remaining 10% is primarily sales through Google Play and other cloud services.
Google indicated advertising driven revenues increased thanks to growth in mobile search. Other Revenues also grew, by a healthy 24% year-over-year, thanks to growth in cloud enterprise businesses. A part of that positive result may be due to long-time rival Apple moving part of its data cloud from Amazon to Google.
Google’s other segments include all of the smaller businesses, sometimes referred to as “moonshots” that have been added to the portfolio. The biggest of these are Nest, Verily and Fiber which produce 99% of the revenue generated by these “Other Bets” companies. For the first quarter, these companies produced $ 166 million in revenue, a sizable 108% increased compared to a year earlier. However, that positive growth is offset by increases in spending, the majority of which was capital spending to build out Google Fiber infrastructure.
Alphabet and Google CFO Ruth Porat noted in a conference call that the pressure is on the various “moonshot” divisions to meet their milestones during 2016. She also indicated that the company is evaluating the portfolio of teams that may be working on similar projects or technologies to determine whether it is really appropriate to continue in an “anything goes” manner.
In response to just barely missing forecasts, the share price for Google stock fell by about 5%. Analysts think the stock was priced for “perfection” and when the company did not quite achieve that, the market responded negatively. However, other analysts noted that there is “nothing wrong with this company” and the swing was perhaps a bit more dramatic than it should have been.
Come comment on this article: Alphabet Q1 2016 revenue up but misses Wall Street target
Amazon Underground has been gaining momentum since launch, and even big name developers can stand to benefit from putting their games on the service. Rovio, for example, published several big titles to Amazon Underground, including Angry Birds Rio, Angry Birds Stella, Angry Birds Space, and Bad Piggies, and saw their revenue triple for those titles just by being on Amazon Underground.
While Amazon makes the apps (and their in-app purchases) free for users, it also reimburses developers for every minute that the apps are used. That means that Rovio made some money off of users that probably wouldn’t have purchased anything to begin with, which is a pretty big deal in a time when monetizing mobile apps is extremely difficult.
Now to keep things in perspective, these apps tripled their revenue compared to what was previously being made in Amazon’s own App Store. That doesn’t include the revenue from the Play Store and Apple’s App Store, both of which are certainly bigger pools than Amazon’s fairly limited storefront. But Amazon’s Kindle ecosystem makes up a big enough portion of the pie that it was still probably a fairly profitable move for Rovio to make, and it might entice other developers to follow suit.
Come comment on this article: Several Rovio games on Amazon Underground managed to triple revenue for developer