Google parent Alphabet’s earnings are slowing due in part to issues related to the cryptocurrency bear market.
Decreased online advertising purchases from companies in the financial sector, including cryptocurrency firms, led to lower revenue in the third quarter, according to the search engine giant’s parent company.
Google Chief Business Officer Philip Schindler said in the earnings call: phone Among other things, the retreat of online advertising buying by crypto companies.
“As mentioned earlier, in search advertising and other advertising revenue, the biggest factor in the third quarter was lapping outsized performance, but we’re seeing advertiser pullbacks in certain areas of search advertising. I think the example I pointed out was in financial services in the areas of insurance, loans, mortgages, cryptocurrency subcategories, and also the decline in spending on YouTube and the network by some advertisers. And those spending declines increased in Q3.We also noted lower revenue from AppPromo’s YouTube and network spending.”
Schindler did not provide additional details on the decline in crypto advertising. Bitcoin (Bitcoin) and other digital assets have collapsed along with other risk assets amid troubling macro conditions after reaching record highs in late 2021.
Alphabet reported $69.1 billion in third-quarter revenue. This was his 6% growth, well below last year’s 41% revenue growth. reportedly It was the smallest growth since 2013, except in the second quarter when the 2020 COVID-19 pandemic began. Overall advertising revenue for the quarter was $54.5 billion, up just 2.5%.
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