Google Q2 2011 Results - Congratulations!

Community
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Google 2nd Q highlights:

  • Google broke the $9 billion sales mark for the first time ever in the second quarter, a 32 percent boost over the Q2 2010 revenues of $6.82 billion.
  • Search engine notched $6.92 billion in net revenue in the second quarter of 2011
  • The search engine traffic share remained at 65% according to CommScore during the month of June 2011

“We had a great quarter, with revenue up 32 percent year on year for a record breaking over $9 billion of revenue,” Google CEO Larry Page said in a statement.

Google shares were up nearly 11% after hours.

A huge success for an Internet company.

However, most webmasters believe that the success has come as a result of Panda. Checkout http://www.foxbusiness.com/technology/2011/07/14/googles-2q-results-crush-wall-street-views/[URL=“http://www.webmasterworld.com/goog/4339717.htm”]
If it is true, then it indicates that Panda is primarily an exercise to promote paid search (adwords) rather than the quality of Google search.

It is a bit surprising that even after 12 years of existence, Google is solely depending on Search Engine Advertising for its profits.

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Is it surprising that much of this increase is a result of lowered expenses – namely, paying AdSense partners a lower share of revenue?

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It is understandable. In the absence of any competition, Google may be paying negligible amounts to Adsense partners, at the same time increasing the PPC average price by 12% per year. In addition, Google will be promoting their own group of websites like About.com to show up in search results in G’s Internet.