Forum Moderators: martinibuster
Give your view! - Also any dibs on a Google Pay check bonus?
So what you are saying is they could take the interest from delaying payment for 1 week and increase their bottom line revenue by about 1%. Pretty cool.
But wait, there's more! You're only talking about revenues that are payable. What about the revenues that are in hand as they collect them from advertisers, and are holding payments to publishers for 2 weeks (maybe more) until the end of the month? Another couple of percent! Awesome! Completely offsets credit card fees, and/or pays all the salaries for all of the AdSense staffers!
5, 10 maybe 15 million dollars. Pretty soon you're talking real money!
It's the weekend before Christmas, and Google sees fit to hold pubisher earnings until the bitter end. Two things: Yes, some publishers would spend some of their earnings on Christmas gifts, and; that would be good for the economy and the retailers making sales.
It is obvious that Google cares more about maximizing shareholder value (in a very linear sense), by withholding monies until the final moment, than the effect they could have on their customer base and the larger economy. Please note that some of this money has been in Google's hands since November 1, 2, 3, etc. So, they've been earning interest not for 21 days but for as much as 51 days.
Whoever said "greed knows no bounds" must have been an accountant.
My point is simply that maximizing shareholder value may not be accomplished as obviously as earning every last penny of interest. There still is such a thing as "goodwill" but that can't be counted by a computer or an accountant, so it is overlooked and undervalued at Google.
Merry Christmas, all you geniuses at the 'Plex.
