Google passes ITV in ad revenues

One year after overtaking Channel 4, Google UK has surpassed ITV and is now the biggest advertising revenue recipient in the UK.

Google generated GBP 327m in Q3, from sponsored links compared to ITV1's GBP 317m.

This was boosted by a substantial Rugby World Cup windfall. ITV's overall revenue for the year though are bigger than Google at GBP 1.3bn. But figures do not tell the whole story.

Unlike traditional advertising channels, Google shares a substantial portion of the revenues with its partners - roughly 30%. It remains to be seen whether Google will be able to maintain this meteoric rise.

Google has start video advertisements on Youtube.com and is already looking forward to diversify its offerings, encroaching on other businesses' segment.

Although online advertising spending represents only 11 per cent of the overall UK ecosphere, Google owns 75 percent of it. Put it another way, Google takes one pound for every 12 pounds spend in advertising in the UK.

This is bound to increase as traditional advertising fail to attract new blood and relative newcomers like Facebook and Google will get the bulk of it as Online advertising looks set to say on course for another record growth year.

Online advertising grew 41 per cent while the rest of the industry actually SHRUNK by 1 per cent.