Riddle of Alphabet’s ad revenue
May 1, 2019 -- Alphabet reported decelerating advertising revenue for Google in the first quarter of 2019, sending its stock plunging 7.5% and shaving more than $67 billion from its market capitalisation to $833.5 billion.
Questions are increasing over the slow in advertising revenue, the sharpest drop in seven years; one theory is that Google is running out of space on phone screens to cram in ads from paid promotions from Google searches.
Alphabet has also seen its employee numbers climb to 103,460, up more than 4,000 in a year, while since 2017, Apple’s Intelligent Tracking Prevention has restricted the ability for advertisers and site owners to track users across domains. ITP cut ad sales by around 50%
Alphabet also blamed a fall in clicks on ads based on videos watched on YouTube after the company removed millions of “harmful-content” and fake news videos