Google’s Android smartphone operating system has come a long way in the past two years, but does it actually make any profit for the search giant? It does, according to Andy Rubin.
Speaking during an interview at the D: Dive into Mobile conference in San Francisco yesterday, where the latest version of Android, AKA Gingerbread, was showcased, Android founder Andy Rubin confirmed that the smartphone platform is a profitable business for the company despite Google not charging any money to manufacturers to license the OS.
When asked “Are you profitable? Is Android profitable? Does Android make any money?” by Ina Fried of All Things Digital, Mr Rubin gave a clear-cut answer.
“We’re making money on the advertising that’s generated through Android.”
Although he didn’t reveal how much money it’s making, we know it’s got to be pretty substantial if casual gaming gem Angry Birds alone is projected to make a $1m in ad revenue a month from its ad-supported version on Android.
Previously, Google’s vice president of corporate development, David Lawee, admitted that purchasing Android was the best deal it’s ever made. Google acquired Android Inc in 2005 for an estimated $50 million. Analysts predict the platform will generate $5 billion in revenue by 2012.