Today in Social

Google and Microsoft both reported their quarterly results today (it’s Microsoft’s fiscal Q4). Let’s compare media businesses. Microsoft’s online media business was up 8 percent to $735 million, but that was all due to search as the company said its display ads revenue was down slightly for the quarter. That’s pretty awful, especially for a Q4 effort. (Even Yahoo’s display ad sales grew 1 percent.) Microsoft’s Online Services Division lost money again, and not just because it wrote off $6.2 billion in goodwill from the aQuantive acquisition. Scanning the first-day coverage, it doesn’t look like Google gave any color on its display versus search ad business, but it rarely does. Google’s search and ad revenues were up 21 percent to $10.5 billion. Cost-per-click was down again, and Google placed the blame on international currencies, rather than mobile search. But it’s probably a bit of both. Stay tuned, Facebook reports on the 26th.

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P1040724

David Card

VP Research Gigaom Research

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