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Google Plans To Outsource AdSense Billing
WebProNews
Staff Writer
2004-05-04
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95% of Google's revenue comes from their AdSense/AdWords services. Last year, the search engine made $962 million in 2003 revenue and $106 million in profits. On April 30, 2004, Google filed with SEC to offer its stock to the public. In the long filing, Google laid its financial information, as well as some of the company's key risks.
One of the risks Google mentioned was moving its worldwide billing and collection to a third-party service provider. "We have no experience managing and implementing this type of large-scale, cross-functional, international infrastructure project," says Google via BaselineMag.
The risk Google refers to is the change over process. Google stated in the filing that "if this transition is not successful, our business and operations could be disrupted and our operating results would be harmed." When 95% of your revenue comes from service in which you are looking to change, it's easy to see why Google has concerns.
As of now, Google has not named the third-party company that will be handling the responsibility of the changeover.
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