GAFA is an acronym for Google, Apple, , and . The term GAFA might have become extremely popular when France’s publishers and media started to use the concept to mean the tech monopolists that control a large chunk of global digital information and online commerce.
As of 2017, over ninety billion dollars, which consisted of 86% of Google’s revenues came from advertising networks. The remaining fraction (about 13%) came from Apps, Google Cloud, and Hardware. While a bit more than 1% came from bets like Access, Calico, CapitalG, GV, Nest, Verily, Waymo and X.
Read: Amazon Business Model and Business Strategy
advertising business model. Almost all the makes money with an revenue comes from targeted advertising. Indeed, revenue breakdown in 2018 was:
- Advertising (over 98% of revenues): it primarily consists of displaying ad products on , Instagram, Messenger, and third-party
- Payments and other fees (less than 2% of total revenues): it consists of the net fee received from developers using Payments infrastructure or revenue from the delivery of virtual reality platform devices and others
When looking at the Apple Business Model, it is easy to assume that it is solely a product company, which sells devices that are beautifully crafted. However, there would have been no success for the Mac without its OS operating system. There would not have been iPod success without iTunes. And no success for iPhones without the Apple Store.
Other business resources:
- What Is a Business Model? 30 Successful Types of Business Models You Need to Know
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- Marketing Strategy: Definition, Types, And Examples
- Marketing vs. Sales: How to Use Sales Processes to Grow Your Business
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- What is Growth Hacking?
- Growth Hacking Canvas: A Glance At The Tools To Generate Growth Ideas