Tomahawk, WI 9/18/2013 (BasicsMedia) – It is doubtable whether there is a better information technology firm in the market today which is comparable to Google Inc (NASDAQ:GOOG). The company has always made money by offering online advertisement services to its clients. The fact that it already has products which are highly popular has helped it attract a lot of advertisements. The company has often relied on its ad sales to make money. This has been quite productive and in 2012, the company was able to make $33.3 billion, out of which $32.2 billion or 97% of is revenue was from ad sales only.

GOOG is more Profitable Than the 31 Countries Combined

There is no doubt that GOOG online ads are more profitable than all the 31 world’s poorest countries combined. A deeper break down of these figures indicates that 70% of this revenue which GOOG raised was from adwords. This simply means that businesses are allowed to advertise based purely on popular keywords. Furthermore, 30% of this revenue was also raised from adsense. This is a service which allows advertisers to place their ads on particular sites on the Internet. However, the company now has to look at better ways of raising more revenue.

GOOG’s Lab is its Most Important Money Making Tool

The tool which GOOG relies on to research on other ways of increasing its revenue is Google [X], its legendary lab. Currently, GOOG intends to introduce the driverless cars. As the name suggests, these cars will keep you on the road safely using the combined efforts of Google Map technology and sensors. Inevitably, you can be on the road in your car being driven to your destination while catching up with your work or friends. The other product being developed is Google Fiber which will offer users the super-speeds while on the Internet.

Then there is the Google glass which the company is developing as well. This is simply a reality glass which has been augmented by GOOG to offer users a better experience while enjoying their visual fields. It is also working at coming up with a way of embedding several every-day and normal devices with Internet connectivity. Some of the household items which qualify for these services include the refrigerators, thermostats and the television to mention but a few. Lastly, GOOG is working on an elevator through which it will send people to space.

GOOG’s Acquisitions Make Money for the company

GOOG has also made a number of acquisitions over the recent years. One of its well publicized acquisitions has been YouTube, which ranks as the third most popular website on the Internet. It acquired YouTube for $1.65 billion in 2006, although it is now worth more than that. The other acquisition made by GOOG include Motorola Mobility for a sum of $12,5 billion in 2011, ITA Software, Wildfire Interactive, AdMeld, Waze and All these acquisitions never cost GOOG more than a combined total of $3.5 billion, but are now making lots of money for it.

As long as GOOG operates its Google [X] lab, I expect the company to continue coming up with more innovative products which it will use to make more money going forward.

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