$GOOGL Google is in a big trouble in the long run – here is why

Let's do the math directly and take a look at Google ads results in 2023:

• The revenue generated by Google ads in 2023 is $237 billion.

• The revenue portion from Google search engine is around 60%!!! That means out of the $237 billion, around $142 billion revenue is generated from the search engine or search ads.

• Google's total revenue for 2023 was $305 billion, that means the revenue from the search engine only (not entire Google ads) makes around 45% of Google's total revenue.

Now the second search engine behind Google is Microsoft Bing, Microsoft generated in 2023 only $12 Billion from Bing ads.

Google by far is the dominant as for now, and Microsoft although in the second place behind them, won't be able to reach even a quarter of Google's revenue, they had many failed attempts to promote Bing.

Now some of you probably heared about the upcoming releases of SearchGPT, whoever tried ChatGPT will know it's by far better than Gemini and the other AI models, if Openai released their SearchGPT and people switched from Google search to SearchGPT (which I personally think will happen), Google in this case will keep 45% of its total revenue vulnerable by SearchGPT.

TL;DR Google have strong exposure to its search engine, the revenue generated from the search engine is around 45% of its total revenue, with the upcoming release of SearchGPT, Google may lose its dominance in the long term which may cause their revenue growth to stop or decline.

Not a finacial advice