The search engine revenue environment has become increasingly challenging, as Amazon starts slurping up a larger and larger share of the ad market.
This has started to affect Google and we have already seen Bing’s steady growth slow last quarter.
Despite growth dropping to below double digits last quarter, this quarter Search Revenue rebounded to 11% YoY (13% in constant currency.)
Microsoft reports that revenue growth was once again supported by an increase in revenue per search, suggesting the search engine is attracting more discerning users.
Hopefully, last quarter’s results were only a blip, and Bing can continue to provide a real general-purpose alternative to Google.
See Microsoft’s full earnings results here.