Print 24 comment(s) - last by shane.carroll.. on Jul 20 at 8:25 AM

Google+ now has 10 million users -- even Mark Zuckerberg is reportedly onboard, scoping out his rival.  (Source: Google+)

Chrome is now the world's fastest growing web browser, with 160 million users.

Google co-founder Larry Page seems to be handling the pressures of being CEO well.  (Source: Chris Hondros/Getty Images)
Google+ and the Chrome browser are also success stories

In the face of concerns about legal attacks from Apple, Inc. (AAPL) and Microsoft Corp. (MSFT), and earnings concerns, Google Inc. (GOOG) continues to show it isn't leaving its starring role in the tech industry anytime soon.  The smartphone and internet search leader on Thursday reported a record revenue of $9.03B USD.  GAAP net income (profit) was at an impressive $2.51B USD.

The strong showing should go a ways to dispelling the cloud of pessimism that has surrounded Google in recent weeks.  Indeed Google stock has soared up 13 percent in pre-market trading.

The pickup of Google+ has been particularly impressive.  New chief executive Larry Page regaled the audience of the earnings call with figures.  Namely, he revealed that Google+ had reached 10 million users, despite being invite only and only in existence for a few weeks.  He also indicated that Google+ users are very active on their new social network, sharing over 1 billion links a day with their friends.

Mr. Page even took the opportunity to deliver a bit of a shot at rival Facebook's loose privacy controls.  He states [transcript], "Our goal with Google Plus is to make sharing on the Web like sharing in real life, as well as to improve the overall Google experience. Circles lets you choose with precision who you’re sharing with. Not surprisingly, this has been very well received, because in real life we share different things with different people."

Facebook users will recognize the hidden meaning here; the world's largest social network has clumsy privacy controls that in most cases result in sharing things with all your friends -- or in some peoples' cases -- all the world.  Google clearly is a bit more privacy-conscious.

Google's Chrome web browser is also doing quite well.  The company reports it has 160 million users.  Mr. Page remarks, "Chrome is the fastest growing browser."

Turning to Android, Google's smart phone juggernaut, Google says that it now has 135 million active devices.  This total is significantly lower than Apple's, which has 200 million iOS devices active as of June.  Of course, much of the differential is likely due to the iPod Touch -- which has no major Android competition -- and the iPad tablet -- which has vastly outsold Android tablets.

In phones the numbers are likely much closer, but unfortunately neither company broke down the active device numbers into categories.  The closest clue with regards to the health of iOS versus Android is the number of phone activations a day.

Apple in June said it was at 275,000 a day.  In June, Google said it was at 500,000 a day, with Android Manager Andy Rubin declaring on Twitter that activations were increasing at a 4.4 percent weekly growth.  During the earnings call Google seemingly confirmed this growth rate, by announcing activations of 550,000 handsets a day, a figure Mr. Page calls "a huge number, even by Google’s standards."

Looking back, in April Google was at 350k activations, so the growth has indeed been impressive.  Apple chief executive Steven P. Jobs has claimed that Google is lying about its activation totals, believing his company is still ahead, despite the large gap in the reported totals.

Google still trails Apple in apps and app downloads.  At the earnings call Mr. Page announced total app downloads had reached 6 billion, well behind the 15 billion downloads Apple users have logged.

Mr. Page brushed off monetization concerns about the company's core products, such as Android, Google+, and the Chrome browser.  He comments, "Now people rightly ask, how will we monetize these businesses? Of course, I understand the need to balance the short-term with the longer-term needs, because our revenues and growth serve as the engine that funds our innovation. But our emerging high usage products can generate huge new businesses for Google in the long run, just like search."

"And we have tons of experience monetizing successful products over time. Well-run technology businesses with tremendous consumer usage make a lot of money over the long term."

Overall, the earnings serve as reassurance that all Google's key properties are firing on all cylinders, competitively.  However, outside concerns, such as lawsuits and antitrust investigations remain serious obstacles for Google.

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Winner Microsoft
By Mitch101 on 7/15/2011 9:34:18 AM , Rating: 1
Isnt the real winner Microsoft?
550k * $15.00 Per Android = $8.25 Million Daily to Microsoft
Total Microsoft Operating and Support Costs on Android $0

One might brag about Apple's profit margins on products but 100% is pretty hard to beat.

RE: Winner Microsoft
By quiksilvr on 7/15/2011 9:39:27 AM , Rating: 2
Your math is flawed. Microsoft only gets $10 an HTC Android phone, not all phones in the market.

RE: Winner Microsoft
By Mitch101 on 7/15/2011 9:42:15 AM , Rating: 2
Ok so they are getting a measly 5.5 million daily from Android sales.

100% profit with 0% overhead is still 100% profit.

RE: Winner Microsoft
By fhornmikey on 7/15/2011 10:18:35 AM , Rating: 2
Reading comprehension fail.

RE: Winner Microsoft
By troysavary on 7/15/2011 10:29:40 AM , Rating: 3
All Android phone are secretly made by HTC, didn't you know?

RE: Winner Microsoft
By Mitch101 on 7/15/2011 12:50:20 PM , Rating: 2
No your Understanding on licensing failed.

Microsoft can strike licensing deals with every Android manufacturer but the Windows giant has been on a roll lately. It has recently signed deals with General Dynamics Itronix, Wistron Corp., Velocity Micro and Okyo Corp. Microsoft has not disclosed how much those deals are worth, though it said it was collecting royalty payments from the licensees

Can Android Be Microsoft’s Next $1 Billion Business?

RE: Winner Microsoft
By mcnabney on 7/15/2011 10:27:15 AM , Rating: 2
I would be amazed if HTC moved 100k/day. Also, that licensing fee might only apply to sales in the USA - which would further reduce that number. Still, MS is probably getting a million or so dollars every day.

Or you could spin that around. What happens when the desktop OS is abandoned and they are stuck with this little trickle instead of the billions they get now?

RE: Winner Microsoft
By Mitch101 on 7/15/2011 1:29:41 PM , Rating: 2
Im guessing this huge factor was missed as the Judges in the US and Canada approved the sale of 6000 patents.

Microsoft, others outbid Google in giant Nortel patent sale: Why it matters
But perhaps more important is what company lost the bid during an auction spanning several months. (Google)

Thats no moon its a space station getting ready to fire.

RE: Winner Microsoft
By shane.carroll on 7/20/2011 8:25:55 AM , Rating: 2
dude seriously, you're just looking for attention. stop posting, you're wrong anyway

RE: Winner Microsoft
By sweatshopking on 7/15/2011 10:51:54 AM , Rating: 2
Not true. there are a number of android manufacturers that are currently paying MS.

Samsung is going to be next. Android is more expensive to produce, than WP7. I expect to see a lot of Producers switching over.

RE: Winner Microsoft
By Mizerable on 7/15/2011 11:00:21 AM , Rating: 2
hello from TR !

RE: Winner Microsoft
By TakinYourPoints on 7/15/2011 2:57:37 PM , Rating: 2
You beat me to it. It is hilarious/amazing that Microsoft and not Google is taking most of the profit from Android hardware sales.

Something interesting happened...
By Iaiken on 7/15/2011 11:26:51 AM , Rating: 2
I've been on Google+ since the closed beta when only people from inside Google could send out invites and I've since managed to smuggle over almost everyone I actually know.

Watching my streams, something interesting is happening on G+ that I'd never seen in my years on Facebook. People are actually sharing more and in increasingly fun and intimate ways. I think the reason behind it is the additional layer of privacy that Google+ allows for. People (at least the ones I know) have been quick to catch on to the fact that well organized social circles allow you to restrict who can see what.

This has lead to a massive amount of candid limited visibility posts between friends as if a layer of self-censorship had been peeled away. You can talk jovially with friends, professionally with colleagues and candidly with family without the worry of upsetting members of the other groups.

It's pretty awesome to watch this come about organically and to watch the tide of "how do I ..." posts subside.

Kudos Google on out Facebooking Facebook.

RE: Something interesting happened...
By icanhascpu on 7/15/2011 12:23:32 PM , Rating: 2
Kudos Google on out Facebooking Facebook.

I think FB only pretended to be something it wasn't. So I think its less Google out FBing them, and more actually doing what everyone assumed it should have been doing all along.

When 3rd part apps start appearing more, G+ will expload. Heres to hoping the handle apps well.

RE: Something interesting happened...
By jimbojimbo on 7/15/2011 12:49:58 PM , Rating: 1
I'm already looking forward to filtering out any stupid farming updates or gang wars BS.

The one thing I really want is the ability to filter out comments by key words. Some friends feel it's their duty to talk about every game in every sport. Who cares? Filter!!

By fleshconsumed on 7/15/2011 1:24:16 PM , Rating: 2
If you click 'X' by the farmville updates FB should give you a choice to hide farmville updates. Works for me and any other FB game.

RE: Something interesting happened...
By Slyne on 7/15/2011 3:52:28 PM , Rating: 2
Actually, the main restriction I put on my Facebook posts is not that they will be visible to too many "friends", it's that they will be stored in Facebook's datacenters, ready for further data mining by FB themselves or some enterprising hacker that eventually manages to swipe their data.

Call me paranoid, but I certainly don't trust Google any more than Facebook on that concern.

By MartyLK on 7/15/2011 6:54:25 PM , Rating: 1
I know I feel more secure with G+ than I ever allowed myself to be with FB. Especially since the FB creator was...and maybe still is...a jerk. I won't ever forget what was reported of him saying certain people were "stupid fucks" for trusting him with their private info.

Google+ is irrelevant
By Tony Swash on 7/15/2011 2:30:08 PM , Rating: 2
Google+ maybe be very interesting and may grow really big but like Android it is largely irrelevant to Google's earnings. Google is an advertising company, 95% of it's earnings come from advertising.

The really interesting development in relation to Google's earnings was revealed by this article

The story is essentially that Google seems to have increased it's take of the ad income at the expense of it's partners .Google’s own sites, such as search, gmail, etc showed 39% growth in ad income in the most recent quarter compared with the year ago quarter, to $6.23 billion.

Google partner sites grew at nearly half the rate: just 20% compared with a year ago, to $2.48 billion. This huge disparity between the growth rates of Google sites and partner sites is without precedent for most of its history.

What does this mean? It is not clear what mechanisms are at play here but such a shift in trend is unlikely to have been accidentally and it is reasonable to conclude that it is as a result of Google deliberately clawing back in-house earnings that previously went to partners.

What are the implications? Clearly there is a limit to how much Google can claw back partner earnings and so in order to repeat the upward lurch in earning in future Google will have to find other sources for increasing revenue. It is also unclear what the long term impact on partner allegiance will be if Google adopts a strategy of clawing back revenues.

RE: Google+ is irrelevant
By kodekov on 7/16/2011 7:28:06 PM , Rating: 2
Tony I think I speak for all of us when I say,

Major non-buyer's regret
By fleshconsumed on 7/15/2011 11:28:18 AM , Rating: 2
GOOG stock is basically up 20% in just 20 days if you include the 12% jump today. Should have jumped on it when I had the chance...

10 million
By geddarkstorm on 7/15/2011 1:05:31 PM , Rating: 2
That's amazing growth for Google+! I certainly am enjoying it myself.

But the most interesting thing about this announcement to me, is that the researcher who estimated the number of people on Google+ based on a surname search (verses frequency in the general population) has now been proven right, as he estimated Google+ would be hitting 10 million by now. Very interesting method he's developed then.

Somehow i doubt this:
By Suspicious on 7/15/2011 2:16:06 PM , Rating: 2
10 million users [...] sharing over 1 billion links a day with their friends.

Somehow i doubt google+ users share 100 links per person per day on average.
Another site i read reports that the +1 button is showed 2.3 billion times a day. Seems more logical to me.

By bishanliu on 7/17/2011 8:30:31 AM , Rating: 1
Free transport

“So far we have not seen a single Android device that does not infringe on our patents." -- Microsoft General Counsel Brad Smith

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