Virtually all businesses in the video industry would dream of generating $7.340 billion of revenue in a quarter, but for online video juggernaut YouTube, this amount in the company’s Q2 shows a marked decline in advancement on an annual basis.
YouTube’s performance was revealed in the financial results for the quarter ended 30 June 2022 of parent company Alphabet which stated clearly that its business operations were currently being driven by search and the cloud in the core Google business.
Total Alphabet revenues for the quarter amounted to $69.685 billion, up 12.6% on an annual basis and 16% on a constant currency basis. Google Search revenues were $40.689 billion, up 11.9% compared with Q2 2021 and Google Cloud saw revenue climb sharply by 35.65% over the year to $6.276 billion. By contrast, YouTube ads grew 4.8% year-on-year to $7.340. This represented the slowest growth over the last two years and compared with an annual rise of 84% compared with the same quarter a year ago.
Commenting on the performance revealed in the company's second quarter, Alphabet and Google CEO Sundar Pichai said: “The investments we’ve made over the years in AI and computing are helping to make our services particularly valuable for consumers, and highly effective for businesses of all sizes. As we sharpen our focus, we’ll continue to invest responsibly in deep computer science for the long-term.”
In a bid to boost YouTube business, in March 2021 the service announced that it was offering users the ability to stream full seasons of TV for free via an ad-supported video-on-demand bundle. The US AVOD service serves viewers full seasons of TV shows, including nearly 4,000 episodes of TV shows such as Hell’s Kitchen, Andromeda and Heartland. YouTube also has over 1,500 films from Disney Media & Entertainment Distribution, Warner Bros., Paramount Pictures, Lionsgate and FilmRise, and more. Launch titles included Gone in Sixty Seconds, Runaway Bride and Legally Blonde.
Total Alphabet revenues for the quarter amounted to $69.685 billion, up 12.6% on an annual basis and 16% on a constant currency basis. Google Search revenues were $40.689 billion, up 11.9% compared with Q2 2021 and Google Cloud saw revenue climb sharply by 35.65% over the year to $6.276 billion. By contrast, YouTube ads grew 4.8% year-on-year to $7.340. This represented the slowest growth over the last two years and compared with an annual rise of 84% compared with the same quarter a year ago.
Commenting on the performance revealed in the company's second quarter, Alphabet and Google CEO Sundar Pichai said: “The investments we’ve made over the years in AI and computing are helping to make our services particularly valuable for consumers, and highly effective for businesses of all sizes. As we sharpen our focus, we’ll continue to invest responsibly in deep computer science for the long-term.”
In a bid to boost YouTube business, in March 2021 the service announced that it was offering users the ability to stream full seasons of TV for free via an ad-supported video-on-demand bundle. The US AVOD service serves viewers full seasons of TV shows, including nearly 4,000 episodes of TV shows such as Hell’s Kitchen, Andromeda and Heartland. YouTube also has over 1,500 films from Disney Media & Entertainment Distribution, Warner Bros., Paramount Pictures, Lionsgate and FilmRise, and more. Launch titles included Gone in Sixty Seconds, Runaway Bride and Legally Blonde.
