Sunday, 7 September 2025
29.6 C
Singapore
27.1 C
Thailand
19.5 C
Indonesia
27.5 C
Philippines

Google discreetly hikes ad prices to hit financial goals

You might have noticed the price of Google’s advertisements going up. Google confessed to subtly adjusting their advertising auction system to achieve its revenue objectives. Typically, the changes mean that an average advertiser could pay up to 5% more for their ads. During a federal antitrust trial, Jerry Dischler, a top executive at Google Ads, revealed […]

You might have noticed the price of Google’s advertisements going up. Google confessed to subtly adjusting their advertising auction system to achieve its revenue objectives. Typically, the changes mean that an average advertiser could pay up to 5% more for their ads. During a federal antitrust trial, Jerry Dischler, a top executive at Google Ads, revealed that for certain searches, Google might have ramped up the prices by a whopping 10%. Even more surprising is that these alterations have been done without notifying the advertisers.

This move from Google has ruffled some feathers in the digital marketing world. Many wonder if Google’s Smart Bidding feature is being used to fatten the company’s pockets. 

Google is under the microscope for supposedly sneaky tactics that help maintain its stronghold as the world’s primary search engine. It’s said that Google, capturing a staggering 90% of the market share in search, has been offering hefty payouts to giants like Apple to be the go-to search engine on devices, especially the iPhone.

Search ads, which are the text and shopping promotions that pop up at the beginning of Google’s search results, are a significant revenue source for Google. In 2020, they raked in over US$100 billion for the company, contributing more than 60% of Google’s total income. This trend of increasing revenues from search ads has been consistent since 2012.

Jerry Dischler explained that the price adjustments resulted from the pressure to meet the revenue targets set by Wall Street. During the trial, he mentioned that the main aim was to think outside the box to achieve their financial goals. If Google can up the prices and face no substantial pushback from competitors, it might prove the Justice Department’s point: Google has an unfair monopoly in the market.

Hot this week

How SEO is evolving into educating AI engines in 2025

SEO has evolved into educating AI assistive engines, with clarity, credibility, and consistency key to building algorithmic trust.

Genshin Impact introduces the new Nod-Krai region in Version Luna I update launching 10 September

Genshin Impact Version Luna I launches on 10 September, adding Nod-Krai, new characters, mechanics and rewards to mark its fifth anniversary.

Garmin launches fēnix 8 with first-ever MicroLED smartwatch display

Garmin debuts the fēnix 8 MicroLED, the world’s brightest smartwatch with advanced features for athletes and adventurers.

Gen Z drives AI adoption at work by coaching older colleagues

Gen Z workers are driving AI adoption by coaching older colleagues, boosting productivity, collaboration, and career growth across generations.

Meta improves threaded posts on Threads with clearer design

Meta is updating Threads with clearer thread labels, numbered posts, and new layout tools to improve user experience.

OpenAI to launch job platform and AI certification scheme

OpenAI will launch an AI job platform and certification scheme to help employers find talent and upskill job seekers.

Meta improves threaded posts on Threads with clearer design

Meta is updating Threads with clearer thread labels, numbered posts, and new layout tools to improve user experience.

US court rules Google can keep Apple deal but must share search data with rivals

A US court ruled Google can keep its Apple deal but must share search data with rivals, marking a key antitrust decision.

ECOVACS unveils DEEBOT X11 with PowerBoost and expands service robot portfolio at IFA 2025

Ecovacs launches DEEBOT X11 with PowerBoost and expands its service robot lineup with ULTRAMARINE at IFA 2025.

Related Articles

Popular Categories