Google

Spectacular Results Any Way You Look At It

• 47% market share of search business, Google continues to grow share


• 67% growth in revenue


• Earned over $1 billion in net income for the quarter—A Big Number

Google’s strategy of letting users develop content continues to work. Yahoo and old-line media continue to believe only large institutions with deep pockets can generate content for the masses.

During the conference call, Google decided to spend time discussing its ad platform in which it paid over $3.0 billion to its partners during the past year. It was clearly an effort to distinguish between Google and Yahoo!’s Project Panama—which is just being introduced.

Any way you slice it, Google is becoming more and more powerful of a company. It’s ability to share revenue with partners based on algorithms built by the company is very powerful. Yahoo is going to have a tough time catching up.

February 1, 2007