Is Google Advertising Revenue 70%, 80%, Or 90% Of Alphabets Total Revenue? – Forbes

ANKARA, TURKEY - NOVEMBER 29, 2019: Representatives stand near an illuminated logo of U.S.-based ... [+] global tech giant Google at a fair. According to the Turkish media, Google announced on December 15 that it has suspended its services for new Android smartphones in Turkey unless the country backtracks from its decision to fine the company for violating competition law. PHOTOGRAPH BY Altan Gocher / Barcroft Media (Photo credit should read Altan Gocher / Barcroft Media via Getty Images)

As per Trefis estimation, Google Advertising Revenue, which consists of Google Properties segment and Google Network members properties segment, will contribute 83.3% of Alphabets Total Revenue for 2019. Google properties business, is part of the companys advertising business and is expected to contribute $120 billion to Alphabets 2019 revenues, making up 70.2% of Alphabets $171 billion in expected revenues for 2019. The Google properties business contribution is about 6x that from Google Network members properties, the second segment of the companys advertising business. Alphabet is expected to add $80.8 billion in revenue between 2016 to 2019, out of which the Google Properties segment is expected to provide $56.2 billion, that is 69.6% of the total expected increase. This revenue growth has been key to Alphabets 60% price appreciation since 2016, further helped by high margins, and a stable valuation multiple. We discuss Alphabets valuation analysis in full, separately.

Below we discuss Alphabets business model, followed by sections that review past performance and 2019 expectations for Alphabets revenue drivers, and competitive comparisons with Facebook and Amazon.

You can look at our interactive dashboard analysis ~ Alphabets Revenues: How Does Alphabet Make Money? ~ for more details.

Alphabets Business Model:

What does Alphabet offer:

Has 3 major Operating Segments:

What Are The Alternatives?

What Is The Basis of Competition?

Revenue growth expected in 2019 is primarily from growth in the Google Properties segment.

Trefis

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Is Google Advertising Revenue 70%, 80%, Or 90% Of Alphabets Total Revenue? - Forbes