Re:Google listed my restaurant's number as its British HQ
by slightwinder on Thursday August 01, 2024 @07:49AM
(#41128209)
> Alphabet annual net income is in the $70B range.
How much of this comes from electronic devices? Probably not that much. Big Business prefers for every division to pay their own bills, and to not depend on subsidizes from other divisions.
> The reason Alphabet and Microsoft do not maintain their own retail stores is because they are betting their customers are not willing to pay a sufficient price premium
They don't need to bet, they have the numbers. They had stores and they know how much they get through all their distribution-channels. Local shops just don't make enough anymore these days.
Alphabet annual net income is in the $70B range.
Many, many, many multiples of what other retail businesses earn. Best Buy’s revenue is half of Alphabet’s profit.
The reason Alphabet and Microsoft do not maintain their own retail stores is because they are betting their customers are not willing to pay a sufficient price premium to make it worth the trouble of dealing with all that extra liability/staffing/etc.
Microsoft even had them in the 2010s, basically copying Apple, but determined the ROI wasn’t worth it.