Though this suggests that revenue growth at YouTube remains robust, it may signal that growth in Search (esp. desktop search, which is estimate represents 80% of total search revs), Google?s largest and most profitable revenue stream, is slowing more than we previously believed. However, mgmt gave new color around its Paid Clicks metric, attributing much of the recent strength in Sites
click growth to its TrueView ads on YouTube.
Though core Search may be slowing and capital intensity continues to increase. We see many avenues for growth including app monetization, YouTube, advertising services/adtech, and mobile search.
