![]() The cost of entry and expansion is not, on global parameters, particularly high. Says Nikhil Prasad Ojha, partner with Bain and Co.: “When you look around the world, this is the last big market, and many of the conditions are in place: large population with (basic) mobile access, rapidly growing economic activity at local levels, and a predisposition to finding small-scale but effective use cases. In India, state control of the Internet is nowhere near China’s levels, making this a more attractive, albeit slower, market for the global digital giants.īy 2014, Facebook already had around 100 million users in India, and the company judged its potential market to be several hundred million more. The caveat-Facebook is blocked in China and Google bowed out of that country in 2010. ![]() No country except China has held the kind of potential that India does. For the social network to continue with its astronomical growth, it needs to get those people online. ![]() Broadband accounts for just 40% of that figure (137 million), as of December 2015, according to the Telecom Regulatory Authority of India (TRAI), with the number of people using significant data even lower. Latest numbers show that in India there are 148 million monthly active people (MAP), 140 million mobile MAP, 73 million daily active people (DAP) and 68 million mobile DAP.īut in India, only 332 million, or a quarter of the population, have Internet access. Look at this through the lens of Facebook and it becomes clear why India is so important in its scheme of things: Facebook’s business is booming in the US and rest of the world (excluding India). Facebook ended 2015 with a net ad revenue of $17.1 billion, of which 19.4% came from mobile advertising. This growth could well come at the expense of companies such as Google which have been dominating the online advertising space for the past 15 years. The company has a 45.7% share of US mobile advertising now.įacebook is estimated to expand its share of the US mobile advertising market over the next three years, reaching 20.3% by 2017 (from 19.2% now). Research firm eMarketer estimates that about half of Google’s 2015 net ad revenue of $67.39 billion came from mobile, and expects the proportion to reach 70% in 2017. According to Meeker, mobile advertising is growing massively, year-on-year, with a 66% increase in 2015 (over 2014). While search-based advertising has been the biggest money-spinner for Internet firms in the past two decades, the emphasis is gradually shifting to mobile. Together, Facebook and Google controlled 76% of Internet advertising growth in 2015. Meanwhile, Google’s ad revenue was up 18% over the same time period. The Meeker report says that between 20, Facebook’s ad revenue grew 59%, with much of this coming from mobile. Like it or not, Mark Zuckerberg has created an advertising juggernaut. With a market capitalization of $340 billion, the social networking company is fast catching up with Google.Īpproximately 82% of its advertising revenue of $5.2 billion in the first quarter of 2016 came from mobile advertising, up from 73% in the first quarter of 2015. What’s telling is that approximately 84.2% of Facebook’s daily active users are outside the US and Canada. With a market capitalization of $510 billion in May 2016, the Mountain View-based company is on top of the heap among global Internet firms-no mean feat, considering that its competitors are Apple Inc., Facebook and Inc.įacebook’s numbers are equally intimidating: 1.09 billion daily active users on average for March 2016, of which 989 million are mobile daily active users for the same period. In November 2015, Google was ranked first by comScore, a cross-platform measurement company, among the most visited multi-platform Web properties in the US with 247 million US unique visitors and a market share of 63.9% among the leading US search engine providers. Globally, Google and Facebook have been spectacularly successful on every business count.
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