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Friday, April 19, 2013
Google Sees A Jump in Profits


Internet giant Google has reported rising profits in the first three months of the year, boosted by online advertising revenue. The company also underlined its focus on new technology.

Google's net profit climbed to $3.35bn in the first three months of the year, up 16% from a year earlier, boosted by online advertising revenue. The company's overall revenues reached nearly $14bn for the quarter. That is up from $10.7bn during the same period last year.

Google is also pushing beyond its roots as a desktop-based search business to enter new ad-driven markets, including smartphones, Web services and video, stepping up competition with Apple and Microsoft.

The Google co-founder and chief executive discussed his company's big bets such as YouTube, Android and Chrome, but focused on more speculative bets such as Google Glass and Google Fiber during a conference call with analysts.

"Companies tend to get comfortable doing what they've always done, with only a few minor tweaks. It's only natural to work on the things you know," Page said.

Google still remains 80% focused on search and other businesses that drive the company's success, Page said.

Page also mentioned Google Fiber, which he said the company undertook because co-founder Sergey Brin wanted to show how speedy Internet access could change people's lives.

He also made reference to Google handing out the first pairs of Google Glass to software developers.

"I get chills when I use technology of the future," he said, "and that happens with Glass."

And he's expecting new and better mobile devices that have longer battery life and phones that don't shatter when you drop them.

"There's real potential to invent new and better experiences. Having just seen Motorola's upcoming products myself, I'm pretty enthusiastic," Page said, refering to the upcoming Google X Phone. Previously, Google CEO Eric Schmidt had confirmed the upcoming phone, which are expected to be very robust due to its carbon fiber shell.


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