Revenue from the ad network rose 4% in 2016, while ad sales on Google’s websites and apps rose 22%. The slower growth of Google’s ad network means it is accounting for a smaller and smaller share of the company’s total sales. In the fourth quarter of 2016, Google’s advertising network generated 17% of Alphabet’s total revenue, down from 22% three years earlier. More ad sales are entirely computerized, pushing down the average prices for each ad and pinching Google’s growth in its advertising network. Right now, though, the soft spot in Google’s advertising network sales is no big deal.

Source: Mint January 29, 2017 20:43 UTC