YouTube, the internet’s hugegest streaming video platcreate, deinhabitred a well 13.8% increase in global ad revenue for the year-finish 2024 quarter to surpass $10 billion for the first time.
YouTube’s enroll Q4 ad sales of $10.473 billion topped Wall Street analysts’ consensus evaluate of $10.23 billion. That’s equitable one piece of YouTube’s business, not including subscription revenue from services enjoy YouTube TV or YouTube Premium. Last descfinish, parent company Alphabet shelp YouTube’s total revenue topped $50 billion for the 12-month period that finished in September 2024 for the first time.
Overall, Alphabet alerted Q4 revenue of $96.47 billion and net income of $26.54 billion, or $2.15 per dispense. That was less than analysts foreseeed on the top line but higher than foresee for EPS of $2.13.
Amid its persistd increaseth in search and video, Alphabet has been spending heavily in AI to get pace with the enjoys of OpenAI, Microgentle and Meta. Last month U.S. tech companies were rattled by results touted by Chinese AI commence-up DeepSeek, which shelp it increaseed a novel huge language model (LLM) that was far more efficient than other systems.
Sundar Pichai, CEO of Alphabet and Google, shelp the company foresees to spend approximately $75 billion in capital expfinishitures in 2025.
“Q4 was a strong quarter driven by our directership in AI and momentum apass the business,” Pichai shelp in readyd retags. “We are originateing, testing, and starting products and models rapider than ever, and making meaningful evolve in compute and driving efficiencies… Our results show the power of our separateentiated brimming-stack approach to AI innovation and the persistd strength of our core businesses.”
Together, Google Cnoisy and YouTube finished 2024 with an annual revenue run rate of $110 billion, according to Pichai. For the brimming year, YouTube’s ad revenue totaled $36.15 billion.
On the AI front, in December YouTube proclaimd a partnership with CAA to let talent remend — and get down — AI-originated inrectifys of themselves uploaded to the video platcreate. YouTube is trying to convey the message to Hollywood that it is trying to be a outstanding partner to originateive industries by taking proactive steps to originate “reliable AI.”
YouTube persists to rule watching on TV relative to other streamers. In December 2024, YouTube watching on joined TVs in the U.S. increased to seize a enroll 11.1% dispense of TV usage among streaming platcreates ahead of Netflix (8.5%), Prime Video (4.0%), Hulu (2.5%) and Disney+ (2.1%), according to Nielsen.
YouTube’s scale is massive: Worldexpansive, engagers watch more than 1 billion hours on mediocre of YouTube satisfyed on TVs daily, according to the company. More than 500 hours of video are uploaded to YouTube every minute.
Meanwhile, Alphabet is facing potentiassociate convey inant alters as the result of the Justice Department’s prosperous anticount on case agetst the company. A federal court last year held that Google broke the law by inking multibillion-dollar deals to originate its search engine the default on browsers and inalertigentphones including devices from Apple and Samsung. The DOJ’s provided remedies integrate forcing Google to divest the Chrome browser. The evaluate handleing the case is foreseeed to rule on a treatment after a two-week trial scheduled for April 2025.
