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Marketing/sales question for the experts here...
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<blockquote data-quote="RonJohn" data-source="post: 807691" data-attributes="member: 2426"><p>They have been making a profit for several years now. They make a ton on cloud computing. Their EBITA has been above $1billion per quarter since about 2012. In 2020, their net income rose rapidly and reached over $8billion.</p><p></p><p>You are correct that at the very beginning, they even lost money on many of the sales in order to grow the business. But they haven't been doing that for a very long time. They have used income to do research and to purchase other companies instead of creating income. However, that does not mean that in a sale of some product to a consumer that they don't have profit. They have an AI system that will maximize profit on individual sales. I have heard commentators describe it as a knob that they can turn to set the companies income at whatever they want it to be.</p></blockquote><p></p>
[QUOTE="RonJohn, post: 807691, member: 2426"] They have been making a profit for several years now. They make a ton on cloud computing. Their EBITA has been above $1billion per quarter since about 2012. In 2020, their net income rose rapidly and reached over $8billion. You are correct that at the very beginning, they even lost money on many of the sales in order to grow the business. But they haven't been doing that for a very long time. They have used income to do research and to purchase other companies instead of creating income. However, that does not mean that in a sale of some product to a consumer that they don't have profit. They have an AI system that will maximize profit on individual sales. I have heard commentators describe it as a knob that they can turn to set the companies income at whatever they want it to be. [/QUOTE]
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