4 ms·
> Well I don't see how it is a Win for MS when their ad revenue is ~3% that of Google. In a sense, aren't they paying more ? How do you figure? Microsoft earn
by tanzam75 13y ago
> Well I don't see how it is a Win for MS when their ad revenue is ~3% that of Google. In a sense, aren't they paying more ?
How do you figure?
Microsoft earned $3.2 billion in the Online Services division in fiscal year 2013. According to Microsoft's annual report, advertising accounted for "nearly all of" that division's revenues.
$3.2 billion is about 5.6% of Google's trailing 12 months revenues of $57 billion. Subtract out Motorola, and it's about 6% of Google's ad revenues.
What's more, the settlement locks in Microsoft's liability at 5% of Google's. If Microsoft were to grow its share vs. Google, then it would get to pay less than the proportional amount.
- 1stop 13y agoBut if google grows it's share... microsoft pays more. ... Actually, could google buy vringo, then just get money off MS?
- pavanky 13y agoI was using these(http://www.emarketer.com/Article/Microsoft-Takes-Small-Share-of-US-Search-Ad-Revenues/1009939 http://www.emarketer.com/Article/Microsoft-Takes-Small-Share...) numbers for reference. More specifically the second table.