Despite dalliances with driverless cars and artificial intelligence, its good old fashioned advertising that continues to bring home the bacon at Google says its executive chairman Eric Schmidt.
Schmidt (pictured below), whose actual title is executive chairman at Google’s parent company Alphabet, was speaking at the Start-up Fest currently underway in Amsterdam.
His comments come on the back of figures that show Alphabet’s ad revenues rose 16 per cent year on year in the first three months of 2016 to $US18 billion.
Schmidt, whose comments were quoted on the CNBC website, told the Start-up Fest audience: “It’s always been advertising and I suspect it will always be advertising because advertising is such a large part of the global phenomenon, because our advertising is more accurate … our tools will get better and better at getting the right ads to you in the right place.
“We’re obviously going to have growth in these other areas. The advertising space is so large, our advertising … is so good at delivering the right ads.”
However, Scmidt added that the tech behemoth is always on the lookout to diversify its business and add new revenue streams. He added that artificial intelligence was the next big thing for Google engineers.
“Part of our job is to seed markets with new ideas and the quickest way to do that is to build software … where you literally freely license it,” Schmidt said.
“We believe that not only will we be using (the AI toolkit), but all our competitors will and all the start-ups, and on balance that’s a win because we win when the whole ecosystem gets larger.”