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Cloud profits are not much ( for AWS around $687M per quarter [1]) compared to ad ( around $7B per quarter [2]). Google has many businesses that has the potenti

Cloud profits are not much ( for AWS around $687M per quarter [1]) compared to ad ( around $7B per quarter [2]). Google has many businesses that has the potential to generate a lot of money like a) licensing technology to car manufacturers for self-driving cars b) Manufacturing and selling hardware ( like Chromebooks, OnHub, Chromecasts etc ) c) Google Apps, GCE, Google Drive etc d) Google checkout/wallet payment processing e) Online publishing with Google Play, Music, Youtube etc. If you look through Google's list of products[3], I am sure you will be able to find many more potential high profit products. But they are terrible at turning them into viable businesses. [1] http://www.theregister.co.uk/2016/01/28/amazons_numbers_for_quarter/ http://www.theregister.co.uk/2016/01/28/amazons_numbers_for_... [2] http://www.wsj.com/articles/alphabet-reports-rising-profits-at-core-google-businesses-1454361634 http://www.wsj.com/articles/alphabet-reports-rising-profits-... [3] https://en.wikipedia.org/wiki/List_of_Google_products https://en.wikipedia.org/wiki/List_of_Google_products

alaskamiller 10y ago
a) Until self driving car technology commoditizes and car manufacturers catches up, buys a Chinese copy cat, or rolls their own solution b) Low margins c) Thin margins d) Lots of competition e) Maybe Nothing beats the fat profits of auctioning off ad space to advertisers.
mark_l_watson 10y ago
+1 that is a good list Although I use Google Search a lot less than I used to, I find myself a fairly happy customer of Play Music + TV + Movies, and I am using GCE as the platform for a new book I am writing on cognitive computing. Google checkout may end up being huge. Google has sufficient funds to do more Google branded products. Their premium Chromebook is sort of too expensive to be a mainstream product, but I could see a Google branded cheaper Chromebook selling very well. Google branded Chromebooks and Android phones bundled using their Fi wireless data services also seems like a good source of profit.

alaskamiller 10y ago

a) Until self driving car technology commoditizes and car manufacturers catches up, buys a Chinese copy cat, or rolls their own solution b) Low margins c) Thin margins d) Lots of competition e) Maybe Nothing beats the fat profits of auctioning off ad space to advertisers.

mark_l_watson 10y ago

+1 that is a good list Although I use Google Search a lot less than I used to, I find myself a fairly happy customer of Play Music + TV + Movies, and I am using GCE as the platform for a new book I am writing on cognitive computing. Google checkout may end up being huge. Google has sufficient funds to do more Google branded products. Their premium Chromebook is sort of too expensive to be a mainstream product, but I could see a Google branded cheaper Chromebook selling very well. Google branded Chromebooks and Android phones bundled using their Fi wireless data services also seems like a good source of profit.