YouTube earns better from advertising than Netflix
YouTube is clearly ahead of its toughest competitor Netflix in terms of advertising revenue. According to its own data, the Google subsidiary earned a total of 8.6 billion dollars from ads in the fourth quarter of 2021 - an increase of around a quarter compared to the previous year. Netflix managed "only" 7.7 billion dollars in the same period.
February 3, 2022
"Alphabet, Google's parent company, generated $75.3 billion in revenue in the fourth quarter of last year. That's 32 percent growth over the year before," said Ruth Porat, CFO at Google, when presenting the latest quarterly figures. That growth, she said, reflects a broad-based trend toward more ad spending and increased online activity by consumers. "Our investments have helped us deliver the services to people, our partners and businesses that they need," she emphasized.
The company intends to continue this strategy in the future and invest specifically in potentially promising business areas. "Podcasts, gaming, learning content, sports - we will take a very close look at all these areas," says Google CEO Sundar Pichai, who speaks of a "whole new level of opportunities" in this context. With regard to YouTube in particular, he also sees online shopping as a potential growth driver. "But we are still at the beginning here," Pichai admits.
Alphabet with $257.6 billion in revenue
Overall, Alphabet posted $257.6 billion in revenue in the past fiscal year. The number one revenue driver continues to be advertising in the context of Internet search queries. The corresponding revenues increased by almost 36 percent year-on-year to 43.3 billion dollars. The YouTube video platform came in at $8.6 billion. For the full fiscal year 2021, advertising revenues on the video portal amount to 28.8 billion dollars. (pte)