How can Yahoo! & Google possibly make so much money ?

Question

How can websites like Yahoo & Google make so much money ?? Because I've heard that Yahoo & Google are multibillion dollar corporations!
How has Yahoo & Google made billions of dollars in just over a decade? Is it just advertising what makes Yahoo & Google millions of dollars on weekly basis ? Are there any other things, others than jsut advertising that Yahoo & Google makes revenue from? If there are, What are those goods & services ? I mean Yahoo & Google are websites that have big headquarters & both are on the stock market & have turned their co-founders into multi-billionares !

How has this websites made billions of dollars in such a short time???

Answer 1

The online advertising spend in the US (as I recently read in Fortune magazine) is currently $17 billion. Google's revenues is around $3 - $4 billion annually (so approx 20% of that US market is with Google). Since the online advertising market is expected to expand further, stock markets have rewarded the company with higher valuations.



Google's revenues are primarily advertising...they come from the links that come up on the right and the Company gets it if you click on them (maybe google has a team which does this clicking all day!!!). They also have licensing revenues from licensing of the search engine to other portals but not much.

Answer 2

The answer is strategic partnerships. Both companies have made fortunes on providing data. Google in particular has never lost site of this. They give other companies their expertise in providing data in exchange for things like advertising opportunities, software or straight cash.



Look at google maps. It is free ...up until you want to make some money off of it. Then, like it or not...you enter into a partnership with google for the rights to use their maps.

Answer 3

It depends on what you are looking for. If you are asking for a quick, possibly unreliable answer, Yahoo. If you are however looking for a researched, 100% sure answer, Google. Just depends on which you need!

Answer 4

It's advertising but they also keep track of your surfing and shopping habits and sell this information to companies. If you type "degree" all of a sudden you'll be getting emails from every so-called university in the country.

Answer 5

It is called ads and people who pay to have web sites up.

Ads that people place run into hundreds maybe thousands of dollars.

Answer 6

Advertising. Millions of people per day visit their sites, and click on ads, which rolls in the dough.

Answer 7

i dont know but i think maybe because they got good information and they advertise their work.