Google’s parent company Alphabet has reported a huge profit increase in its latest quarterly earnings report, as it continues to corner the digital advertising market.
The Mountain View-headquartered firm, which appears to have emerged from a series of regulatory setbacks unscathed, reported $31.1 billion revenues during the first three months of 2018 – a 26% increase on 2017’s first quarter.
In the same period its profits leapt 70% to $9.4bn, hugely outperforming forecasts experts have accredited to the company’s increased online advertising presence.
Though some insiders predict a drop in Facebook and Google’s digital ad duopoly, the pair still command 25% of all advertising revenue worldwide, and over half in the United States.
Google commands around double the market share of its social media competitor – a trend that, according to eMarketer.com, an analyst, looks set to continue towards 2020.
Both Google and Facebook – and their “GAFA” cohort Amazon and Apple – have faced increased scrutiny from governments and regulators worldwide across a variety of antitrust, tax and privacy issues. Facebook is under pressure following Mark Zuckerberg’s appearance at House and Senate committee hearings, while Google has faced a litany of fines and cases over allegedly monopolistic business models.
Amazon has recently taken a hit as part of US President Donald Trump’s attack on Big Tech’s tax practices. And Apple has faced ire all over the world for its stashing of profits in “tax haven” overseas territories.