Google is struggling with rising costs, falling advertising revenues and poor results from Motorola. Director Larry Page be on the rising revenues from the mobile market. This was the publication of the quarterly figures, which early appeared, after which the trading in Google shares suspended.
Google itself was confronted with rising costs for data centers and credit card payments. Although the sales compared to last year, with 45 percent rose to 14.1 billion u.s. dollars, decreased the profit of the company by 20 percent to 2,18 billion dollars.
The Motorola division of Google in the third quarter of 2012 due to disappointing sales of mobile devices, a loss of 527 million dollars and was for an important part responsible for the decline in the quarterly figures from the search giant. Google announced ‘yet but at the beginning of the Google-Motorola story” and earlier this month was a reorganization announced in which thousands of jobs are at.
The ceo of Google, Larry Page, however, on the ‘unique position’ that Google has in the mobile market. “The transition from one screen to multiscreens, Google has enormous opportunities to innovate and achieve better results,” he said. Google saw the revenue from mobile, extrapolated to an unspecified longer period of time, rising from $ 2.5 billion to $ 8 billion. The largest share came from mobile ads, but also the income from the Play Store are below. According to Page warned some people that Google ‘crazy’ with the introduction of Android, but that there is now a daily 1.3 million activations for the OS and half a billion Android devices.
The announcement of the quarterly results was an incident in advance with the printer of documents the results too early neighbour. The result was that the price of Google shares are heavily decreased and the trade temporarily was shut down.