Google plans AdSense outsourcing
5 May 2004
Google is reportedly considering outsourcing billing for its AdWords service
However, due to the sheer size of the task, the move could cause major problems for Google if the company it selected to manage the billing of its AdWords service failed to get it right.
One of the risks Google mentioned in its filing last week for an initial public offering (IPO) was moving its worldwide billing and collection to a third-party service provider, WebProNews reports.
Google stated in the filing that "if this transition is not successful, our business and operations could be disrupted and our operating results would be harmed."
The search giant claims that 95 per cent of its revenue comes from paid search listings. Last year, the company made $962 million in 2003 revenue and $106 million in profits.
Google has not yet named the third-party company that will be handling the changeover.
Google filed with SEC on April 30th, detailing financial information, as well as some of the company's key risks.
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