[SMK] Social Media Knowledge


Alphabet outshines Facebook earnings

Alphabet shares a lot of similarities with Facebook, but it's in the profits and diversity that the former is beginning to really stand out.

Trouble for Zuck

Google’s parent company Alphabet has reported strong earnings and firm growth in its core businesses, giving investors and bankers more faith in the juggernaut company.

Facebook’s record low earnings spurred a stock crash due to missed revenue projections, which has some investors spooked while others are surely noting the deceleration in sales.

Technically Facebook still out earned Google in Q2 with 42.2% advertising revenue, while Google did 23.9%.

Fingers in many pies

Alphabet’s main strength comes from its versatility. From Maps and Drive to Chrome and beyond, the Google wing of Alphabet simply has more going on than Facebook. YouTube alone is expected to bring in $15 billion in revenue this year.

Google’s cloud services and smart speaker Echo only add more green to the money pile, while Facebook only managed $193 million in non-advertising revenue. If the writing's on the wall, it spells Alphabet.

What do you think about the latest numbers? Are you surprised to hear Alphabet/Google to be outperforming Facebook? Let us know in the comments below.

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