Criticism of Knol and Criticism of Blogger - Do They Look Similar
2004: Blogger has 1.5 million blogs. only 300,000 are active. Average active blog gets 25 page views per day.
16 Feb 2003
Google's first mistake
everybody's gonna be buzzing about Google buying Pyra, but my take is that it's not really that great a fit.
More to the point, Google's consistent marketing message so far has been, "We do search, and we don't want to be a portal". My relationship with Pyra and Blogger goes back a long, long way and their tool has always seemed to be about creation of content.
How does Blogger make any money?
Through advertisement revenue
I assumed that Blogger has 1.5 million blogs, but only 300,000 of them are active, and that the average active blog gets 25 page views per day (most blogs don’t get very many visits). With these numbers, Google might be making $2 million per year in advertising revenue. It might cost Google $500,000 per year for the storage space, servers, bandwidth, and personnel to host all those sites and run the Blogger application.
Taking care hardware cost alone it can make $1.5 million per year.
If there are 20 employees in the Blogger division, and the average employee is making $100,000 per year (these are high paid computer programmers ), that’s another $2 million in expenses. So now Blogger is losing $500,000 per year.
If there are fewer employees or more ad revenue and Google may be breaking even.