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Why Google never needs to make a dime from Android device sales


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Google Mobile Advertising Revenue Analysis

Much as he dismissed the significance of the iPhone when it first released, Microsoft CEO Steve Ballmer also dismissed Google's free-to-use Android platform when it launched because Google wasn't charging any money for OEMs to use it. In the five years since launching Android, however, it's clear that making money from the direct sales of Android devices was never part of Google's plan. To understand why this is, take a look at eMarketer's new report on mobile advertising showing that Google took home $4.61 billion in mobile advertising revenues in 2012, or more than half of all mobile advertising revenues in the world.


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Rule #1 - companies never do anything free without a profitable motive (unless of course it's for charity, in which case most of the time the good PR increases sales anyway :P).. It was clear from day one that Google's interest in the market was for mobile Ads.. They've always encouraged me to set up mobile ads on my sites.

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