Google making $1 billion a year from mobile

The thing about big companies is that any new proposed revenue stream has to be pretty big to get any interest.

So it is probably worth noting that Google’s non-text display advertising has an “annualized run rate” of $2.5 billion, while mobile business is on track to make $1 billion in revenue this year.

Google making $1 billion a year from mobile

Google on Display Ad Future

Looking forward, Google believes that what we today know as “display” advertising will just be “advertising,” a single platform that can coordinate an advertiser’s campaign across streaming audio ads in car stereos, interactive mobile experiences on smartphones, and high-definition video ads on set-top boxes, for example.

Of course, Google expects it will be well positioned to be the manager of campaigns using such diverse channels. Google expects it will provide a single platform to optimize such campaigns, automatically delivering the best-performing ads, best returns and best mix, across all those platforms.

Display advertising is about much more than ads in web browsers, Google now believes.

People are watching video, reading newspapers, magazines, books and listening to digital music at an ever-increasing rate, on a wider range of devices.

So Google intends to give publishers a single base that can deliver ads into this expanding world, including streaming video and mobile ad delivery.

Official Google Blog: Online publishers: growing the display advertising pie