Make 31 billion bucks! How did the money come from the Android system?

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Free products, services will not make money? See this sentence, Qihoo 360 secretly laughed. Because of free anti-virus software and other applications, such as the core of Qihoo 360 market value of up to $8 billion, this Zhou Hongyi is not satisfied, noisy to be privatized! Similarly, we are completely free to remember, even by the major mobile phone manufacturers to transform the unrecognizable Android system, in fact, also in the bulkhead to make a lot of money!

According to foreign media reports, Oracle attorney in court disclosed that Google's Android operating system has created $31 billion in revenue, $22 billion profit, profit margin of 70%! Although Google believes these figures should not be published in the public, because the Oracle lawyer disclosed the information from its internal confidential financial documents, but also proved the astronomical truth. The impression of casual kneading, completely open source free Android system, in the end from which to get the dough?

Advertising! Advertising! Google gives Android the lifeline!

Oracle is exposing Android's earnings and profits because it is currently in court with Google. Oracle accuses Google of using its Java software to develop an Android system, but does not pay a corresponding fee, and the claim amount may exceed $1 billion! And for Oracle's approach, Google was furious. In court documents, Google said, "In addition to general business, Google has never publicly disclosed the individual revenues and profits of the Android business." These nonpublic financial data are highly sensitive and public disclosure can have a serious negative impact on Google's business. "Although Google arms about, but also from the side to see Google's attention to Android." On the analysis, one of the key pillars of Android's $31 billion is the mobile advertising circle that Google offers.

Not to mention Android, even Google itself is extremely dependent on advertising revenue. It is understood that 90% of Google's revenue is aggregated by advertising revenue. According to Google's third-quarter results in 2015, its total revenue was $18.675 billion. The site's revenue is $13.087 billion (which can be thought of as advertising revenue), with revenues of $3.694 billion for the internet (Google Partners ' website via the AdSense program) and $1.894 billion for other revenues.

For Google, its core businesses, such as search and mail, have not made direct money, but they are undoubtedly a solid foundation for Google's advertising ecology. This unified Android system, which is the best carrier for Google Mobile advertising, is an integral part of Google's mobile market.

Now by the exposure of Oracle, Nature is very angry-the wealth is not exposed is the King Ah! To know that in 2013 Samsung Android mobile phone development at the height of the time, its Android phone market share of more than 40%, shipments more than the market's second-ranked counterparts up to 200 million units! While this led to the growth of Google's mobile advertising revenue, it also made the latter feel anxious. Andy Rubin, the head of the Android business, said the company's relationship with Samsung was becoming increasingly complicated. Because Samsung has relied on its own importance to Google, it has shown a willingness to expect a higher share.

Google has also made important moves to make the ads on Android better and earn more money. Google recently said it focused its efforts on mobile advertising and app developers in 2015. About 25,000 app accounts are banned from carrying Google ads, most of them because of a violation that affects the user experience. In addition, after the founding of Alphabet holding parent company, Google's new CEO Sundar Pichai after the first major personnel changes, is aimed at the key advertising and Android department head to adjust.

Google Play: The App Store is a cornucopia

Another source of money for Android is revenue from Google Play in the mobile app Store. In 2015, Google play downloaded 100% more than the Apple App Store, and 2014 was 60% higher, according to research published by app Research's app Annie. That said, last year Google Play wasn't just bigger, it was growing faster than the app Store.

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Of course, limited to the quality of Android apps is generally inferior to iOS apps, and Apple device users are more willing to spend, so the App Store earns 75% more revenue than Google Play. The App Store's total revenue in 2015 amounted to $21.45 billion, meaning Google play's total revenue in 2015 amounted to $12.25 billion, an astronomical sum.

For Google, Google Play is an inexhaustible cornucopia. In the mobile Smart Terminal Market, the Android system always occupies the strongest position, which means that Google Play is in an unshakable position. After some time, Google play will be in China. While the domestic app store is already "full", it doesn't prevent Google Play from becoming a leader. After all, the original experience, but also a part of the fans.

Internet age free still profitable

Now, whether it is music, video, or books, are clamoring for full-scale into the charging era, and this is the direction of the trend. But this does not mean that free time in the internet is meaningless, after all, the essence of the internet lies in openness. Especially for the Internet services, they are not like music, video and other affair, is sustainable. The difference in properties determines that free is still profitable.

The best evidence for the fury of the Android system is the way it makes money. Perhaps the Internet practitioners should also be awakened from the toll or free cycle, choose more suitable for their own. Blindly charging or free, will be guilty of selective errors, or should be from the Internet products or services of the fundamental attributes. (New discoveries of science and Technology, Constantine/Wen)

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Make 31 billion bucks! How did the money come from the Android system?