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Google taking steps to boost advertisement revenue from mobile phones

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NEW DELHI: In an attempt to boost its online advertisement revenue, Google will enable faster online search capability for mobile phones with slower network connections in India.

 

Indians, according to a Google blog post, are accessing the Internet through mobile devices such as their smartphones. However, not all of these devices come with fast, cheap Internet connections.

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Google said this is just another step the online search engine is taking to organise the world’s information and make it accessible to everyone, including those who do not have fast mobile connections.

 

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Google second quarter revenue increased 22 per cent to $15.96 billion.

 

The average cost-per-click, which includes clicks related to ads served on Google sites and the sites of network members, decreased 6 per cent. Cost-per-click for Google sites decreased 7 per cent. Network cost-per-click decreased 13 per cent.

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However, sites revenues rose 23 per cent to $10.94 billion, while network revenues increased 7 per cent. Aggregate paid clicks increased approximately 25 per cent.

 

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ITU in a report released in September has ranked India at 125 for fixed broadband, 113 for mobile Internet, 75 for household Internet penetration and 142 for Internet user penetration in 2013.

 

Google, which recently launched Android One operating system for emerging telecom markets, said it is adding a new streamlined version of search results page in India.

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Google will automatically check to see if a user has a slow wireless connection and deliver a fast loading version of search.

 

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Bharat Mediratta, software engineer of Google, in a blog post on 3 October, said: “The Internet is a global gathering space of infinite opportunity, where people from around the world can exchange ideas and access humanity’s knowledge. Everyone should have equal access to the Internet’s information to improve their everyday lives, regardless of who they are or where they live.”

 

“Fewer bytes means you get your answer faster and cheaper. Google’s results will remain the same, but elements such as images and maps will only show up when they are an essential part of the result,” Mediratta added.

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ITU says mobile broadband subscriptions will reach 2.3 billion globally in 2014 with 55 per cent in developing world.

 

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Global mobile broadband penetration will reach 32 per cent in 2014 with 84 per cent penetration in developed countries and 21 per cent in developing countries.

 

ITU says 44 per cent of the world’s households will have Internet access by end 2014. 31 per cent households in developing countries will be connected to the Internet against 78 per cent in developed countries. ITU does not share India specific Internet access details.

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Jubilant FoodWorks faces Rs 47.5 crore GST demand, plans appeal

Tax authorities flag alleged misclassification of restaurant services

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MUMBAI: Jubilant FoodWorks Limited has landed in a tax tussle after receiving a GST demand of Rs 47.5 crore from the office of the additional commissioner of CGST and central excise in Thane, Maharashtra.

The order, issued under the provisions of the Central Goods and Services Tax Act, 2017, relates to an alleged incorrect classification of certain services under the category of restaurant services. According to the tax authorities, this classification resulted in a short payment of goods and services tax for the period between the financial years 2019-20 and 2021-22.

The demand includes Rs 47.5 crore in GST along with an equal amount as penalty, in addition to applicable interest. The order was received by the company on March 13, 2026.

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In a regulatory filing to the BSE Limited and the National Stock Exchange of India Limited, the company said it disagrees with the order and believes its arguments were not adequately considered.

The company is preparing to challenge the decision and plans to file an appeal. It added that once the redressal process is complete, the demand is likely to be dropped.

Despite the sizeable figure attached to the notice, the company said it does not expect any material impact on its financials, operations or other activities.

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The disclosure was signed by Suman Hegde, EVP and chief financial officer, who confirmed that the company received the order at 19:06 IST on March 13 and has already initiated steps to contest it.

The development places the quick service restaurant major in the middle of a tax debate that could hinge on how certain restaurant-linked services are classified under GST rules. For now, the company appears ready to take the matter from the tax office to the appeals desk.

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