Google Disclosed Adsense Revenue Share

47 minutes ago, I obtained the newsletter from Google AdSense blog in which AdSense team has disclosed the revenue share between google and AdSense publishers. I am also AdSense publisher since Jan. 2008. As commerce student, I was lots of following doubts before reading the content of google AdSense team. Today google AdSense team has solved all these doubts.

Ist Doubt

In Google AdSense agreement, we are independent contractors of google and Why is Google not telling us our share?

Solution: Today Google clears my and all other publishers' doubt by declaring the revenue share of AdSense content and AdSense search.

2nd Doubt

Because, Google is not showing the revenue share, I was doubt that we are receiving the under- value in partnership share of AdSense revenue.

Solution: I was wrong. Google's accounting is best. Like a good businessman,  google has given  higher shares of revenue to AdSense publishers.For example, AdSense publisher would receive $68 with AdSense for content for $100 worth of advertising that appeared on AdSense publisher's site. Means

AdSense Revenue share

AdSense content revenue share

Google : AdSense Publisher

32 : 68

AdSense search revenue share

Google : Adsense Publisher

49 : 51

I take the small part of this content and publishing here as featured content. If you are also AdSense publisher, you can read whole content here.

" Today, in the spirit of greater transparency with AdSense publishers, we’re sharing the revenue shares for our two main AdSense products — AdSense for content and AdSense for search.

As you may already know, AdSense is comprised of several products. The most popular are AdSense for content, which allows publishers to generate revenue from ads placed alongside web content, and AdSense for search, which allows publishers to place a custom Google search engine on their site and generate revenue from ads shown next to search results. Since AdSense for content and AdSense for search offer publishers different services, the revenue shared with publishers differs for each of these products.

AdSense for content publishers, who make up the vast majority of our AdSense publishers, earn a 68% revenue share worldwide. This means we pay 68% of the revenue that we collect from advertisers for AdSense for content ads that appear on your sites. The remaining portion that we keep reflects Google's costs for our continued investment in AdSense — including the development of new technologies, products and features that help maximize the earnings you generate from these ads. It also reflects the costs we incur in building products and features that enable our AdWords advertisers to serve ads on our AdSense partner sites. Since launching AdSense for content in 2003, this revenue share has never changed.

We pay our AdSense for search partners a 51% revenue share, worldwide, for the search ads that appear through their implementations. As with AdSense for content, the proportion of revenue that we keep reflects our costs, including the significant expense, research and development involved in building and enhancing our core search and AdWords technologies. The AdSense for search revenue share has remained the same since 2005, when we increased it.
Google's financial results for the first quarter of this year, show that only 30% of Google's total revenue is from partner sites and the traffic acquisition cost (TAC) is 26% of the revenue. "The majority of TAC is related to amounts ultimately paid to our AdSense partners, which totaled $1.45 billion in the first quarter of 2010." Google's partner sites generated revenues, through AdSense, of $2.04 billion. Obviously, 1.45/2.04=0.71, which is very close to the AdSense for Content revenue share.


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Accounting Education: Google Disclosed Adsense Revenue Share
Google Disclosed Adsense Revenue Share
Accounting Education
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