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Google Pays Out 78.5c On The Dollar

An article today by Bob Tedeschi talks about something we’ve all been speculating – the revenue sharing in Google Adsense. In the article, which I heard about at Problogger and JenSense, reveals that Google pays out about 78.5% of each dollar of revenue to publishers.

I was curious how he reached that figure so I emailed him and I he told me that he pulled the figures from Google’s 10-Q. Of $675M in revenues from the Google Network, they paid out 78.5%, or about $530M. Then he mentioned that the company emphasized that 78.5% is an average payback… so each publisher gets more or less than that. This is for advertisements across their network, which I assume doesn’t just include Adsense, and for some that revenue share can exceed 100% depending on their agreement. Also, some sites get a minimum payout so that can elevate that percentage number.