Google parent company Alphabet's advertising revenue in the fourth quarter was $46.2 billion, a year-on-year increase of 22%.

Recently, Google's parent company Alphabet released its fourth-quarter 2020 financial report. According to the data, Alphabet 's fourth-quarter revenue was $56.9 billion, a year-on-year increase of 23%. Google Cloud 's revenue was $3.83 billion, up from $2.6 billion last year; the search business achieved sales of $31.9 billion, a year-on-year increase of 17%; the advertising business generated a total of $46.2 billion in sales, an increase of 22% compared to last year.

It is reported that Alphabet divides its business operations into three major departments, namely Google services, including advertising, video sharing software YouTube , hardware and applications, Google Cloud and other businesses.

Alphabet 's advertising revenue grew significantly during the election and year-end holiday period, with advertising revenue from the company's YouTube video-sharing platform reaching $6.89 billion, a 46% surge from the previous year, pushing its total advertising revenue to $46.2 billion.

Google executive Philipp Schindler said that the number of viewers and viewing time of YouTube videos have increased significantly, and more than 100 million users have used TV devices to watch YouTube videos.

This strong growth is a huge change compared with the second quarter of last year. At that time, the outbreak of the epidemic made many advertisers overwhelmed and a large number of advertising campaigns were cancelled, so Google's advertising revenue fell by 8%, and Google's business revenue also fell year-on-year for the first time.

Among all advertising types, YouTube 's "direct response " advertising business has seen particularly strong revenue growth. Direct response advertising encourages consumers to take the next step directly, such as immediately downloading a mobile app or jumping to an e-commerce website to purchase products. Direct response advertising was more resilient last year, while brand advertising revenue declined significantly due to the impact of the epidemic.

“Three years ago, direct response advertising was virtually nonexistent on YouTube , and now it’s one of the largest and fastest-growing ad products on YouTube ,” Schindler said .

"I'm very pleased with this progress, and we will continue to make disciplined investments to scale our business and improve profitability, " Google and Alphabet CEO Sundar Pichai said on the earnings call.

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