Posted on by Admin
Subscribe to our Telegram channel for the latest updates in the marketing and advertising scene
Google loses money in Malaysia
25 Aug
Google Malaysia is in a sorry state of finance and our hearts go out to them. Google’s global revenue amounted to USD134.81 billion in 2019 and in Q1/2020 its parent com-pany Alphabet (where Google advertising provides 82% of total revenue) made a net income of USD6.8 billion.
But in Malaysia, the Google bottom line tells a sad story.
Let’s take a moment to appreciate how one of the world’s largest companies is making losses doing business in Malaysia.
For financial year ending 2018, Google Malaysia declared a loss of over RM2 million. It was more dire the year before, where they suffered a massive loss of over RM8.7 million.
In comparison, Google Australia agreed to pay AUD481.5 million in tax last year.
According to Statista, Australia has 22 million internet users while Malaysia has 27 million. Puz-zling?
That’s why the tax math for Google Malaysia saddens me.
While it is common for new companies to experience losses in their first few years, they have been here 12 years, I urge you to sympathise with Google Malaysia.
They have done so much for our country with their free programmes and community projects that I feel they should not suffer an unprofitable future in Malaysia.
But I am still puzzled that since the Google and Facebook duopoly sucks up almost all digital advertising revenues in Malaysia while riding on other people’s content without paying a sen, how can this be so…?
As for the news content compensation battle, the Australian government is fighting that for us.
In the meantime, I am focusing on helping Google’s waning financial fortunes in Malaysia.
To receive your free subscription to Marketing’s WEEKENDER magazine every Friday, save 0122052588 in your phone and WhatsApp the message “WANT”. Check out the latest issue here.
The APPIES is an annual event that presents a rare opportunity for creative, media, digital and marketing agencies or brands to present their best campaigns to the industry.
This is the only event where Live Presentations meets Live Judging.
Similar to TED Talks, The APPIES is the chance for great presenters with outstanding work to show it off to some of the industry’s most important industry leaders.
This year’s winners will receive Gold, Silver or Bronze trophies for 21 categories, and 6 special Best of Best categories (red trophies) that require no submissions!
Campaign entries must have run between June 2024 to May 2025
