• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI

2

Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 

3

The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises

1

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI

2

Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 

3

The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
Google

Google has another fast growing business (Hint: It’s not search)

By
JP Mangalindan
JP Mangalindan
Down Arrow Button Icon
By
JP Mangalindan
JP Mangalindan
Down Arrow Button Icon
July 18, 2014, 4:53 PM ET
Photo Courtesy: Philippe Huguen/AFP—Getty

In five years, Google Play has gone from being an upstart marketplace for mobile phone apps to a mammoth media hub.

On Thursday’s second-quarter earnings call, Google’s outgoing Chief Business Officer Nikesh Arora all-but-said as much. In addition to apps, it now sells now sells digital movies, TV shows and music to the more than one billion people worldwide who own Android phones and tablets.

It “continues to grow at breakneck speed,” Arora said on the call.

Google doesn’t break out numbers for just how well Google Play is doing. But sales have steadily grown into the second largest source of revenues behind the company’s long-standing cash cow, advertising.

Finding alternative sources of revenue is critical to Google as it tries to offset the inevitable slowing growth in its online ad business. Selling apps and entertainment for mobile device can be an important way to keep Wall Street investors happy along with making its operating system more attractive to consumers and device manufacturers.

Citigroup analyst Mark May predicts Google Play’s annual revenues will grow from $1.3 billion in 2013 to $5.2 billion in 2017. Those figures remain a fraction of the $10 billion in iTunes sales Apple reported last year, but Android’s momentum is undeniable.

Nearly four out of five smartphone owners worldwide have an Android device – twice the market share Android had three years ago – according to IDC. Apple’s iPhone, meanwhile, has a 15% market share.

That’s seriously impressive for an operating system some have criticized for being less polished and unified than Apple’s. Android’s strengths have been its ability to be customized by phone makers – something that Amazon , with its forthcoming Fire Phone, and HTC with its “Sense” software – have tried to take advantage of.

But that same “open” nature breeds complications because there are hundreds, if not thousands, of different phones, using different variations of Android, a situation referred to as “fragmentation.” Users of some versions of Android can’t upgrade their phone’s software at the same speed other users can. It’s because of fragmentation that Android security remains what one tech writer colorfully called a “toxic hellstew.”

But such quirks and challenges will do little to block Android from steamrolling mobile around the world. And Google Play’s rise as a serious source of revenue for Google is just more evidence of that.

Google Play’s chronology is a bit convoluted. It launched in 2008 as an app store called Android Market. In 2012, it merged with Google Music and was renamed Google Play.

The Play store had 1.5 million apps available as of June, more than the 1.2 million offered by Apple’s own App Store. In terms of entertainment, the sprawling marketplace offers many recent movie releases and TV episodes for rental or purchase, bestselling e-books, periodicals and music. The goal is obvious: Android users should be able to access as much of their digital content as possible from the Play Store wherever they are, tapping and swiping among Disney’s Frozen, George R.R. Martin’s Game of Thrones or Lorde’s chart-smashing Pure Heroine album on a dime.

In the call Thursday, Google bragged about landing deals for more content in Play including access to television programs from CBS (CBS) and Viacom . Google takes a commission on all sales through Play and gives the rest to app developers or copyright holders.

Google CFO Patrick Pichette, credited “apps and content” for helping lift sales in the company’s “other revenues” in the quarter by 53% year-over-year to $1.6 billion. “Other revenues” include services for businesses along with sales of its Chromebook computers.

“I think its important to step back and look at what the Google Play team has achieved,” explained Arora. “I mean its — it come from nowhere. It’s a phenomenal platform which provides services, apps, content around the world.”

About the Author
By JP Mangalindan
See full bioRight Arrow Button Icon

Latest in

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in

U.S. says China to buy $17 billion of agricultural goods annually
EconomyChina
U.S. says China to buy $17 billion of agricultural goods annually
By Yash Roy and BloombergMay 17, 2026
2 hours ago
Taiwan’s president says the U.S. arms sales that Trump called a bargaining chip with China are ‘the most important deterrent’ of regional conflict
AsiaChina
Taiwan’s president says the U.S. arms sales that Trump called a bargaining chip with China are ‘the most important deterrent’ of regional conflict
By The Associated PressMay 17, 2026
2 hours ago
WHO declares latest Ebola outbreak a global health emergency. A rare variant of the disease with no approved treatments is to blame
HealthHealth
WHO declares latest Ebola outbreak a global health emergency. A rare variant of the disease with no approved treatments is to blame
By Chinedu Asadu and The Associated PressMay 17, 2026
2 hours ago
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
EconomyDebt
The top foreign holders of U.S. debt may soon dump Treasury bonds and bring their money back home, potentially spiking borrowing costs
By Jason MaMay 17, 2026
3 hours ago
BlackRock private credit fund’s valuations are probed by DOJ
InvestingDepartment of Justice
BlackRock private credit fund’s valuations are probed by DOJ
By Olivia Fishlow, Ava Benny-Morrison and BloombergMay 17, 2026
5 hours ago
Ukraine brings the war to Moscow with one its largest drone attacks on the capital, adding to the ‘darkening cloud of anxiety over Russia’
EuropeRussia
Ukraine brings the war to Moscow with one its largest drone attacks on the capital, adding to the ‘darkening cloud of anxiety over Russia’
By Samya Kullab and The Associated PressMay 17, 2026
5 hours ago

Most Popular

Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
AI
Microsoft AI chief gives it 18 months—for all white-collar work to be automated by AI
By Jake AngeloMay 16, 2026
1 day ago
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
Politics
Former top Russian official admits the country is over Putin and can 'imagine a future without him' — even elites bail as Kremlin seizes their assets 
By Jason MaMay 16, 2026
22 hours ago
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
Politics
The Bezos family just donated $100 million to help achieve one of Mayor Zohran Mamdani’s top campaign promises
By Jake AngeloMay 12, 2026
5 days ago
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
Innovation
SpaceX heads into a record-shattering IPO with the 'deepest moat that exists today' as investors vow to 'never bet against Elon'
By Jason MaMay 16, 2026
1 day ago
Oil markets could be a month away from the moment of truth. Brace for a 'non-linear' price spike and panic buying, analysts warn
Energy
Oil markets could be a month away from the moment of truth. Brace for a 'non-linear' price spike and panic buying, analysts warn
By Jason MaMay 16, 2026
1 day ago
Meet the 20-year-old CEO who launched a company in high school to solve Gen Z's entry-level job crisis
Future of Work
Meet the 20-year-old CEO who launched a company in high school to solve Gen Z's entry-level job crisis
By Jake AngeloMay 16, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.