Google is making more than ever before, here's why

Tech giant has posted all-time record revenue in the second quarter of 2021. During its quarterly earnings call, Google revealed that it recorded revenue of $65.1 billion whereas its profits stood at $18.9 billion. This is the fifth quarter in a row where Google has posted record numbers.

Who are the biggest revenue drivers for Google

Sundar Pichai, CEO, Alphabet and Google, said during the earnings call “Search remains the heart of what we do.” And it is Search that seems to be raking in the moolah. The Search business contributed $37.9 billion towards Google’s revenue. Google ads remain at the core of Search’s revenue, followed by YouTube ads. YouTube contributed $7.2 billion to the quarterly revenue. Search and YouTube continue to be the biggest growth drivers for Google.

Breaking the numbers further, Ruth Porat, CFO, Google, said that the total Google Services revenues were $59.9 billion, up 41%. Google Search and other advertising revenues of $37.9 million in the quarter were up 44%. Apple’s App Transparency Tracking feature didn’t have much impact on Google. Porat said, “In terms of the iOS 14 changes specifically, they had a modest impact on U2 revenues.”

Other tech companies that rely on targeted ad-based revenue have complained about Apple’s feature. Both Snapchat and Facebook said that it has had quite a big impact on their revenues.

Pichai also revealed that YouTube recently surpassed 50 million music and premium subscribers, including those in trial. He further said that YouTube Shorts continues to see higher adoption rates. In the past year, the average number of daily first-time creators more than doubled, said Pichai.