Google denies sharing Android mobile app revenue
After all the rumors that were floating around last week (see previous post) with regards to Google sharing their big fat pie of advertisement, application and mobile revenue with carriers, the big G decided they needed to clear this thing up. In an official press release statement given to eWeek.com, “Google denies a report that it is sharing advertising revenues derived from mobile applications on Android smartphones with carrier and handset partners.”
To put it simply, Google only shares out revenue it earns from its search-related advertising sales. On March 26 a spokesperson from Google came out with the following,
We share revenue on search, not on mobile applications. The same is true for non-Android devices that use Google as the default search engine.
If Google were to start sharing other forms of mobile revenue, it would make things very interesting and would effectively mean that all other competitors would have to step in and do the same thing in order to remain viable. Google’s response makes perfect sense to us.