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Google to make ‘strategic’ investments in Android, Chrome

 

NEW DELHI, Feb 2:  Pumped up by robust demand for content, apps and devices across its platform, search giant Google is set to make “strategic” investments in Android, Chrome, YouTube and Enterprise, among others, to further shore up revenue.

The company, headquartered in Mountain View, California, said last week that consolidated revenue rose 17 per cent to USD 16.86 billion in the October-December quarter, helped by strong demand for content, apps and devices. Net income climbed 17 per cent to USD 3.37 billion.

Google said it will continue to invest in three major areas. These include core ads (search and display advertising) and businesses that demonstrate high consumer success, such as YouTube, Android/Play and Chrome.

It will also invest in new businesses towards driving adoption and innovation like social, commerce and enterprise.

Speaking to analysts last week, Google Chief Financial Officer Patrick Pichette said the firm will continue to invest for the long term and its infrastructure continues to be a key strategic area.

“Our free cash flow, in consequence of all this, was USD 3 billion. So there you have it, strong results and an optimism that provides us the confidence to fund strategic growth opportunities, including Android, Chrome, YouTube, Enterprise, just to name a few,” he told analysts.

In the fourth quarter of 2013, capital expenditure was USD 2.26 billion, a majority of which was used for production equipment, data-centre construction and real estate purchases.

As of December 31, the company had cash, cash equivalents and marketable securities of USD 58.72 billion. (PTI)

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