Google Still Suffering Ad Price Declines As Search Goes Mobile
Like most companies that derive their revenue from digital advertising, Google has been hurt by consumers’ migration to mobile. The search giant found little relief in the second quarter, despite recent efforts to mitigate mobile from weighing down its ad rates.
Not including the money Google makes from its Motorola hardware business, Google generated $13.1 billion in revenue in the second quarter of 2013, improving on last year’s mark by 20% but shy of analysts’ estimates when factoring in the $1.0 billion added from Motorola. Google’s primary cash cow, advertising, grew by 15% year-over-year to $12.1 billion.
While it’s hard to criticize a business that consistently record double-digit growth, Wall Street isn’t wild about Google’s latest quarterly numbers and sent the company’s stock down by more than 3% in after-hours trading.
