Google (GOOG) 2009 Q3 法說會逐字稿

Good day, everyone, and welcome to today's Google, Inc. conference call. Today's conference is being recorded. At this time, I would like to turn the conference over to Ms. Maria Shim. Please go ahead, Ma'am.

大家好，歡迎參加今天的 Google, Inc. 電話會議。今天的會議正在錄製中。現在，我想把會議交給Maria Shim女士。請繼續，女士。

Thank you. Good afternoon, everyone, and welcome to Google's third quarter 2009 earnings follow-up conference call. With us are Patrick Pichette, Chief Financial Officer and Jonathan Rosenberg, Senior Vice President of Product Management. After we cover a few housekeeping items, we'll start taking questions from the moderator page as we did on the last call. Also, this call is being webcast from our investor relations website located at investor.google.com. Please refer to our website for important information including our earnings press release and related slide deck. A replay of this call will also be available on our website in a few hours. Please note that we routinely post important information on our Investor Relations website located at investor.google.com and we encourage you to make use of that resource.

謝謝。大家下午好，歡迎參加 Google 2009 年第三季財報後續電話會議。與我們一起的還有財務長 Patrick Pichette 和產品管理高級副總裁喬納森·羅森伯格 (Jonathan Rosenberg)。在我們介紹了一些內務處理項目後，我們將開始從主持人頁面回答問題，就像我們在上次通話中所做的那樣。此外，本次電話會議正在透過我們的投資者關係網站 Investor.google.com 進行網路直播。請參閱我們的網站以了解重要訊息，包括我們的收益新聞稿和相關幻燈片。本次電話會議的重播也將在幾個小時後在我們的網站上提供。請注意，我們通常會在投資者關係網站 Investor.google.com 上發布重要訊息，我們鼓勵您利用該資源。

As a reminder, the purpose of this follow-up call is to give participants the opportunity to ask more detailed financial and product questions in an efficient and Reg FD compliant manner. Let me now quickly cover the Safe Harbor. Some of the statements we make today may be considered forward-looking. These statements involve a number of risks and uncertainties that could cause results to differ materially. Please note that these forward-looking statements reflect our opinion only as of the date of this presentation and we undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events.

提醒一下，這次後續電話會議的目的是讓參與者有機會以高效且符合 FD 法規的方式提出更詳細的財務和產品問題。現在讓我快速介紹一下安全港。我們今天發表的一些聲明可能被認為是前瞻性的。這些陳述涉及許多風險和不確定性，可能導致結果出現重大差異。請注意，這些前瞻性聲明僅反映我們截至本簡報發布之日的意見，我們不承擔根據新資訊或未來事件修改或公開發布這些前瞻性陳述的任何修改結果的義務。

Please refer to our SEC filings including our annual report on Form 10-K for the year ended December 31, 2008, as well as our earnings press release for a more detailed description of the risk factors that may affect our results. Copies can be obtained from the SEC or by visiting the Investor Relations section of our website. Also, please note that certain financial measures we use on this call such as operating profit and operating margin are expressed on a non-GAAP basis and have been adjusted to exclude charges relating to stock-based compensation. We have also adjusted our net cash provided by operating activities to remove capital expenditures, which we refer to as free cash flow. Our GAAP results and GAAP to non-GAAP reconciliations can be found in our earnings press release.

請參閱我們向 SEC 提交的文件，包括截至 2008 年 12 月 31 日的年度 10-K 表格年度報告，以及我們的收益新聞稿，以了解可能影響我們業績的風險因素的更詳細說明。您可以從 SEC 或造訪我們網站的投資者關係部分取得副本。另請注意，我們在本次電話會議中使用的某些財務指標（例如營業利潤和營業利潤率）是按非公認會計原則（non-GAAP）計算的，並經過調整以排除與股票薪酬相關的費用。我們也調整了經營活動提供的淨現金以消除資本支出，我們稱之為自由現金流。我們的 GAAP 業績以及 GAAP 與非 GAAP 調整表可以在我們的收益新聞稿中找到。

With that, we're going to take as many questions as we can accommodate, the remaining questions. I will start with a question from Mark Mahaney from Citi. How can a Company with $22 billion on the balance sheet in cash generate negative net interest income? How about cutting out the hedging program and buying back stock? That's a huge negative drag on your ROI. Patrick.

這樣，我們將盡可能回答剩下的問題。我將從花旗集團的馬克馬哈尼 (Mark Mahaney) 提出的問題開始。一家資產負債表上擁有 220 億美元現金的公司如何產生負淨利息收入？取消對沖計畫並回購股票怎麼樣？這會對您的投資報酬率產生巨大的負面影響。派崔克.

So, Mark, thanks for the question. It's obvious that the consequence of the last year is pulling through on OI&E. Just to give you how we're managing it is, as soon as a couple quarters ago, we were all in kind of very conservative portfolio in order to protect the cash given the economic situation. Since then, we've actually revised our investment strategy and have agreed to an investment portfolio for the long term, and we're in the process of actually moving out of the very conservative position we're -- we were, and -- but there's an impact obviously because we're doing this on a gradual rollout basis.

所以，馬克，謝謝你的提問。很明顯，去年的成果正在 OI&E 上渡過難關。只是為了告訴你我們是如何管理的，就在幾個季度前，我們都採取了非常保守的投資組合，以在經濟形勢下保護現金。從那時起，我們實際上修改了我們的投資策略，並同意長期投資組合，我們正在真正擺脫我們過去非常保守的立場，而且——但顯然會產生影響，因為我們正在逐步推出這一點。

We could not move -- we're not a money manager in the sense of moving money in and out of billions of dollars on a daily basis. That's not the business of Google, so our business is going to be to build a really good portfolio that ties back to the objectives that the committee and the Board set which is clearly much better than just staying on day to day sovereign backed securities. That's going to take a couple quarters to roll out. In the meantime we're on the operating income side, you're paying the price for it while we're migrating. We recognize that. But I would separate that. So we'll fix that. It's just going to take a couple quarters, and it's going to be fixed, then we will not be in position we're in today. I think that overall though, I'm really pleased the fact that we have protected our assets so well over the last year.

我們無法移動——我們不是每天將資金進出數十億美元的資金管理者。這不是谷歌的業務，所以我們的業務將是建立一個真正良好的投資組合，與委員會和董事會設定的目標聯繫起來，這顯然比僅僅停留在日常主權支持證券上要好得多。這需要幾個季度的時間才能推出。同時，我們在營業收入方面，您在我們遷移時為此付出了代價。我們認識到這一點。但我會把它分開。所以我們會解決這個問題。只需要幾個季度的時間，它就會被修復，然後我們就不會處於今天的位置。我認為總體而言，我真的很高興我們在過去一年中很好地保護了我們的資產。

On the flip side is on the hedging side, I think that our hedging is an insurance policy, and if you look at the last 12 months, it's served us so incredibly well that we have -- there's a really good case to continue to invest the dollars we've put there, and as volatility comes down, the costs are also going to come down, so hopefully that will also benefit us. So the net of these two things I think that we have a very balanced strategy. I'm not saying -- I'd love to be exactly where our kind of target portfolio should be. But we have to do this in a disciplined manner so it's going to happen over a couple of quarters. From there we will be in a much more regular state. So from that perspective I think you're right that the third quarter kind of illustrates a transition period.

另一方面是對沖方面，我認為我們的對沖是一項保險單，如果你看看過去 12 個月，它對我們的幫助非常好，我們有 - 有一個非常好的理由繼續投資我們投入的美元隨著波動性的下降，成本也會下降，所以希望這也能讓我們受益。因此，綜合這兩件事，我認為我們有一個非常平衡的策略。我並不是說——我很樂意成為我們的目標投資組合應該達到的位置。但我們必須以有紀律的方式做到這一點，因此這將在幾個季度內發生。從那時起，我們將處於更正常的狀態。因此，從這個角度來看，我認為你說的第三季說明了一個過渡期是正確的。

In terms of the last point of your question I think Eric mentioned it very clearly on the call. So that's how we think of OI&E and it's bound to change over the coming quarters. So that's for your -- thank you again for that question because it's an obvious question to ask.

關於你問題的最後一點，我認為埃里克在電話中提到得非常清楚。這就是我們對 OI&E 的看法，並且它在未來幾季必然會改變。再次感謝您提出這個問題，因為這是一個顯而易見的問題。

The next question is from Brian Pierce from UBS. Could you broadly discuss Google's strategy regarding search distribution deals? Do you think you have reached enough scale in terms of distribution to not overpay for these deals?

下一個問題來自瑞銀 (UBS) 的布萊恩皮爾斯 (Brian Pierce)。您能否廣泛討論 Google 關於搜尋分銷交易的策略？您認為您在分銷方面已達到足夠的規模，不會為這些交易支付過高的費用嗎？

Let me talk about the first part, Brian. Thank you again for that question, because I think the first part of the question is the heart of the matter, which is, we look at every distribution deal we can, because it's good for the ecosystem, it's good for -- everybody makes money when you have a good distribution deal. And in that context all we want to make sure is, we have also discipline at making sure when there's a deal it's a win-win. And I wouldn't comment that in the past anybody overpaid for anything. There may be deals that in hind sight didn't make sense, and needed restructuring, but that doesn't mean that somebody overpaid. So in my mind, right now we have a really good strategy of making sure that every partner we can bring on board is a good partner, and we've just got to make sure that everybody wins at it. So I'm actually -- I'm quite pleased at the way that this is going and we hope to have even more partners in the future.

讓我談談第一部分，布萊恩。再次感謝您提出這個問題，因為我認為問題的第一部分是問題的核心，也就是說，我們會盡我們所能地研究每一項分銷交易，因為這對生態系統有好處，對每個人都賺錢有好處當你有一個好的分銷協議時。在這種情況下，我們想要確保的是，我們也有紀律，以確保達成協議時是雙贏的。我不會評論過去有人為任何東西多付了錢。也許有些交易事後看來沒有意義，需要重組，但這並不代表有人付出了過高的代價。因此，在我看來，現在我們有一個非常好的策略，確保我們可以引入的每個合作夥伴都是好合作夥伴，而且我們必須確保每個人都能從中獲勝。所以我其實——我對事情的進展感到非常高興，我們希望未來能有更多的合作夥伴。

Right. The next question is on the tax rate. The tax rate was 21%. How should we think about the tax rate going forward from Imran Khan?

正確的。下一個問題是關於稅率。稅率為21%。我們該如何看待伊姆蘭汗未來的稅率？

So Imran, pardon me for this cough I have. Tax continues to be quite elusive for many of the analysts that have models because of all of the factors that are at play in taxes. FX is a big issue for our taxes and also the hedging program and how it flows through the tax effect. So, we're pleased to have 21%, but we really can't comment about the future because it's so dependent on these big variables that will affect us.

所以伊姆蘭，請原諒我的咳嗽。對於許多擁有模型的分析師來說，稅收仍然是相當難以捉摸的，因為所有因素都在稅收中發揮作用。外匯對於我們的稅收、對沖計劃以及它如何透過稅收效應流動都是一個大問題。所以，我們很高興能達到 21%，但我們真的無法對未來發表評論，因為它非常依賴影響我們的這些大變數。

Great. The next question is from Heath Terry from FBR. You mentioned that mobile search volumes grew 30% quarter over quarter. Can you give us a sense of monetization levels as mobile search query versus traditional search query and what kind of trends you're seeing in mobile search monetization?

偉大的。下一個問題來自 FBR 的 Heath Terry。您提到行動搜尋量較上季成長 30%。您能否向我們介紹一下行動搜尋查詢與傳統搜尋查詢的獲利水準以及您在行動搜尋獲利方面看到的趨勢？

Sure, Heath, this is Jonathan. We don't really comment specifically on the monetization statistics versus -- mobile versus desktop. I can certainly say from a search traffic perspective, search traffic volume is being very nicely driven on mobile by smartphone adoption. In some markets like in Japan, mobile searches are growing twice as fast as desktop searches over the last year or so. Eric mentioned that advertisers are seeing value in taking advantage of new Google ads products, and I think in the long run mobile is really going to emerge as one of those. I think right now what we see is that advertisers are typically just extending their campaigns into mobile and they're not doing as much customization with the campaigns on the mobile side because there's not as much volume there. But as they start seeing more volume they'll customize the campaigns better which will make the whole ad network work better.

當然，希斯，這是喬納森。我們並沒有具體評論行動與桌面的貨幣化統計數據。我當然可以說，從搜尋流量的角度來看，智慧型手機的採用很好地推動了行動裝置上的搜尋流量。在日本等一些市場，在過去一年左右的時間裡，行動搜尋的成長速度是桌面搜尋的兩倍。艾瑞克提到，廣告商看到了利用新的Google廣告產品的價值，我認為從長遠來看，行動裝置確實會成為其中之一。我認為現在我們看到的是，廣告商通常只是將他們的廣告活動擴展到行動設備，而且他們沒有對行動裝置的活動進行太多的定制，因為行動端的數量沒有那麼多。但當他們開始看到更多的數量時，他們將更好地自訂廣告活動，這將使整個廣告網路更好地運作。

I think the other thing we're seeing is the display seems to work very well on some of these devices and I think that's because of the level of engagement that a user has when they're staring at a cell phone and actually seeing a display ad. They tend to notice it more. Unlike when they're on a desktop machine, they're less likely to click away from it, so there's much more of a dynamic of forced engagement with display. So I think we're quite optimistic there and optimistic about AdSense on the high-end mobile devices.

我認為我們看到的另一件事是顯示器似乎在其中一些設備上運行得很好，我認為這是因為用戶盯著手機並實際看到顯示器時的參與程度廣告。他們往往更注意到這一點。與他們在桌上型電腦上不同，他們不太可能點擊離開它，因此更多的是強制與顯示器接觸的動態。所以我認為我們對此非常樂觀，並且對高階行動裝置上的 AdSense 持樂觀態度。

Thanks, Jonathan. The next question is from [Scott Devitt] of Morgan Stanley. How is the Company managing the growth of vertical search platforms, particularly in the retail category ETM is on, and should we expect more direct investment in vertical areas such as base product search checkout or a more horizontal approach? Jonathan?

謝謝，喬納森。下一個問題來自摩根士丹利的[斯科特·德維特]。公司如何管理垂直搜尋平台的成長，特別是在 ETM 所在的零售類別中，我們是否應該期待在基本產品搜尋結帳等垂直領域進行更多直接投資，還是採取更橫向的方法？喬納森？

Sure. I mean, the strategy certainly depends a lot on verticals. So product search and shopping is certainly one where we're particularly focused at the moment. We're continuing to improve the shopping vertical. We launched the find nearby store, which is the first local shopping feature recently. We're also trying to have a much more visual shopping one box if you type in chrome toaster, you will see the shopping one box and how that works. We're doing well with check-out as a payment platform there, and I think we're starting to get more focused on some of the other verticals. We've always done well in images. You're certainly aware of the work that we're doing in books. We've made more progress with health. We just launched the poison control one box. Real estate, finance, and travel are also other areas that we're going get quite focused on. Obviously we'll also continue to improve Google horizontally.

當然。我的意思是，該策略當然在很大程度上取決於垂直領域。因此，產品搜尋和購物無疑是我們目前特別關注的領域之一。我們正在繼續改善購物垂直領域。我們最近推出了查找附近商店，這是第一個本地購物功能。我們還試圖提供一個更直觀的購物一盒，如果您輸入 chrome toaster，您將看到購物一盒及其工作原理。我們在結帳作為支付平台方面做得很好，我認為我們開始更加關注其他一些垂直領域。我們在圖像方面一直做得很好。您當然知道我們在書中所做的工作。我們在健康方面取得了更多進展。我們剛推出了毒物控制一盒。房地產、金融和旅遊也是我們將重點關注的其他領域。顯然我們也將繼續橫向改進 Google。

Great. The next question is from Colin Gillis. Can you talk to the value of mobile clicks compared to desktop clicks and specific verticals where the value is much higher.

偉大的。下一個問題來自科林·吉利斯。您能否談談與桌面點擊相比行動點擊的價值以及價值要高得多的特定垂直領域。

Did you cover that already in a previous question, Jonathan?

喬納森，您在上一個問題中已經介紹過這一點了嗎？

Well, I think that the dynamics are very different if you think about it. And it all relates to the probability that the user is actually going to consummate a transaction. So if you're searching locally for a restaurant or a coffee shop, then the value of a click is different from a desktop, and in some cases you don't get credit for the click because the user just walks in the store. And so I think we're -- we're still sorting some of that out.

好吧，我認為如果你仔細想想的話，動態是非常不同的。這一切都與用戶實際完成交易的機率有關。因此，如果您在當地搜尋餐廳或咖啡店，點擊的價值與桌面不同，並且在某些情況下，您不會獲得點擊的功勞，因為用戶只是走進商店。所以我認為我們仍在解決其中的一些問題。

Okay, thanks. The next question is from Jeetil Patel, Deutsche Bank. It is quite commendable that Google is not micromanaging its business based on margin percentages. That said, should we think about the business from the standpoint of a cash flow dollar target, three, five, seven years out, or a sustainable cash flow growth rates?

好的謝謝。下一個問題來自德意志銀行的 Jeetil Patel。值得稱讚的是，谷歌並沒有根據利潤率對其業務進行微觀管理。也就是說，我們應該從三年、五年、七年後的現金流美元目標還是可持續的現金流成長率的角度來考慮業務？

I think that -- let me just give a bit more comments to, on what I said on the previous call, which is obviously we have the focus of the Company is on innovation, innovating products that actually serve users and benefit also our advertisers, and so from that perspective, the only point we wanted to make on the previous call that is worth restating is if there was an area where we needed to invest heavily in the short term, in order to really fuel growth in a specific area, we have the means to do it, and we -- Google wouldn't worry for a quarter, a couple of quarters if it really was the right strategic decision to say, what's going to be our percentage margin impact? We're here to build businesses. And in that sense you have a positive mind-set of instead of being stuck in margin land, which most companies live in, we can actually he be in the land of capturing opportunities. And for us that's so much more powerful.

我認為——讓我對我在上次電話會議上所說的話發表更多評論，很明顯，我們公司的重點是創新，創新產品，真正為用戶服務，也使我們的廣告商受益，因此，從這個角度來看，我們在先前的電話會議中唯一想要重申的一點是，是否有一個領域需要我們在短期內進行大量投資，以便真正推動特定領域的成長，我們有辦法做到這一點，如果這確實是正確的策略決策，那麼我們谷歌在一個季度、幾個季度內都不會擔心我們的利潤率影響是多少？我們來這裡是為了建立業務。從這個意義上說，你擁有積極的心態，而不是被困在大多數公司所處的邊緣地帶，我們實際上可以處於捕捉機會的地帶。對我們來說，這更加強大。

Just for an illustration, rather than to make the case for one, if Android continues to have all of the runway that it's having right now you go from one, as Jonathan and Eric talked, one handset with one provider in one country, to the stat that we shared with you a bit earlier, with like 25 countries, 30 handsets, or maybe the reversal, but it's so much more -- if we had to kind of invest in those areas, and the question became, what's going to happen to the percentage margin, we'd never have that question. And that's why I think that we answer the question the way we did. I think that clearly Google is generating a healthy amount of cash, and we really are pleased by that. That gives us the strategic degrees of freedom to actually do the kind of things that Eric talked about a bit earlier. So that's really how we think about the business. It's about growth, it's about users, and it's about partners or advertisers. And that's how we think about the business.

只是為了舉例說明，而不是為了證明這一點，如果Android 繼續擁有目前所擁有的所有跑道，那麼您就會從一部手機（正如喬納森和埃里克所說的那樣，在一個國家/地區由一家提供者提供一部手機）轉變為我們之前與大家分享過的統計數據，大約有25 個國家、30 款手機，或者可能是逆轉，但情況遠不止這些——如果我們必須在這些領域進行投資，問題就變成了，將會發生什麼對於百分比利潤率，我們永遠不會有這個問題。這就是為什麼我認為我們會這樣回答這個問題。我認為谷歌顯然正在產生大量現金，我們對此感到非常高興。這給了我們戰略上的自由度，讓我們能夠真正做埃里克之前談到的那些事情。這就是我們對業務的看法。這關係到成長、關係到使用者、關係到合作夥伴或廣告商。這就是我們對業務的看法。

Thanks, Patrick. We're going to take the next question from James Mitchell of Goldman. Given the sharp sequential improvement in revenue did Google also sharply increase bonus accruals?

謝謝，派崔克。我們將回答高盛的詹姆斯·米切爾的下一個問題。鑑於收入連續大幅增長，谷歌是否也大幅增加了應計獎金？

It's Patrick again. We had had to do some additional accrual simply because, James, I think that's a good catch. Many of you always ask us about these bonus accruals. In Q3 the performance was such that we had to do a bit of catch up on accruals, and that's what we meant when we talked in our comments that part of the quarter over quarter increase in expenses went to that as well. But it also went to a couple other items that I mentioned, like real estate and equipment. So, yes, absolutely, we had to have some accrual impact on it.

又是派崔克。我們必須做一些額外的應計，只是因為，詹姆斯，我認為這是一個很好的收穫。你們中的許多人總是向我們詢問這些應計獎金的情況。第三季的業績使得我們必須在應計費用上做一些追趕，這就是我們在評論中談到支出季度環比增長的一部分也用於應計費用時的意思。但它也涉及我提到的其他幾個項目，例如房地產和設備。所以，是的，絕對，我們必須對其產生一些應計影響。

Okay, great. The next question is from Ben Schachter of Broadpoint AmTech. When can we expect to see the CTA model more broadly deployed on Google.com?

好的，太好了。下一個問題來自 Broadpoint AmTech 的 Ben Schachter。我們什麼時候可以看到 CTA 模式在 Google.com 上得到更廣泛的部署？

This is Jonathan. I guess I'm going start again because I was speaking to myself on mute. So the conversion optimizer product is actually a CTA pricing model, and we're using it pretty broadly. I think we announced this quarter that it's managing over a billion in annual spend. And it's driving pretty good results for the advertisers. They use it to get more conversions and manage it to a lower CTA, we're running some experiments that I think some blogs may have picked up on, CTA-based pricing models for some product focused advertisement. These are generally running on the Google affiliate network on Google.com but I can't comment too much on how that is going until it launches a little bit more broadly.

這是喬納森。我想我要重新開始了，因為我在靜音狀態下自言自語。因此，轉換優化工具產品實際上是一種 CTA 定價模型，我們正在廣泛使用它。我認為我們本季宣布其管理的年度支出超過 10 億美元。它為廣告商帶來了相當不錯的結果。他們用它來獲得更多轉換並將其管理到較低的 CTA，我們正在進行一些實驗，我認為一些部落格可能已經採用了基於 CTA 的定價模型，用於某些以產品為中心的廣告。這些通常在 Google.com 上的 Google 聯盟上運行，但在它更廣泛地推出之前，我無法對其進展發表太多評論。

Great. The next question is from Wayne Cheng of Canaccord Adams. With a greater willingness to add more heads to the [staff and investment] Company could you comment on how aggressive that ramp may look like in 2010, and are there distinct areas you are looking to build talent i.e. display, mobile video, et cetera?

偉大的。下一個問題來自 Canaccord Adams 的 Wayne Cheng。由於公司更願意為[員工和投資]增加更多的人才，您能否評論一下2010年的成長可能會有多大，以及您是否正在尋求培養人才的獨特領域，例如顯示、行動影片等？

It's Patrick. The bottleneck becomes finding great talent that fit with the culture, and so we've ramped up our hiring practices and our pipelines. We hope -- so we won't give you specific numbers, but what I can tell you is we are, ramping up our pipelines to make sure that we have access, and we also think that in this kind of economic environment there's a great opportunity to actually get great talent as well, so we should capitalize on that as much as possible. Where we're going to invest, I think Eric made the point that he hopes to have a 50% kind of engineering and then 50% everything else, so it's just a rule of thumb that we use that because this is an engineering driven Company with innovation at its core, it's really important that, the bulk of the hiring we're looking for is in the engineering talent, and, they will be applied to all of our priority areas, and they, yes, include display mobile video but also search because search continues to be the next $1 billion business as well. And we have such a healthy agenda on that one as well. So that's how to think about it.

是派崔克。瓶頸在於尋找適合文化的優秀人才，因此我們加強了招募實務和管道。我們希望——所以我們不會給你具體的數字，但我可以告訴你的是，我們正在增加我們的管道，以確保我們能夠進入，而且我們還認為，在這種經濟環境下，有一個很好的機會也有機會真正獲得優秀人才，所以我們應該盡可能地利用這個機會。在我們要投資的地方，我認為埃里克（Eric）提出了這樣的觀點，他希望擁有50% 的工程，然後50% 其他所有內容，所以這只是我們使用的經驗法則，因為這是一家工程驅動的公司以創新為核心，非常重要的是，我們正在尋找的大部分招聘人員都是工程人才，並且他們將應用於我們所有的優先領域，是的，包括顯示移動視頻，但是也包括搜索，因為搜尋仍然是下一個10 億美元的業務。我們在這方面也有一個健康的議程。所以這就是如何思考它。

The next question is from Heath Terry of FBR. What kind of advantage does the double click ad exchange offer over other add exchanges both from a competitive standpoint and from the standpoint of advertisers and publishers?

下一個問題來自 FBR 的 Heath Terry。從競爭的角度以及從廣告商和發布商的角度來看，雙擊廣告交易平台相對於其他添加交易平台提供了哪些優勢？

This is Jonathan again, and hopefully you can hear me. We're really focused more on our own customer needs, I think than on a specific competitive set per se. We think there's a huge opportunity, as I think we've told you about to create this open ecosystem where buyers and sellers can meet and transact. One of the exciting features is that we're actually able to do this and seamlessly integrate ad words, advertisers and AdSense publishers and all of the double click advertisers and publishers, which has just been part of the vision from the acquisition at the beginning. We're also trying to get very, very fast in real-time, so you actually have real-time bidding for buyers, real time yield management across all of the publisher channels and helping things clear properly. So we're very, very optimistic about how things are going there.

我又是喬納森，希望你聽得到我的聲音。我認為，我們確實更關注我們自己的客戶需求，而不是特定的競爭產品本身。我們認為這是一個巨大的機會，正如我認為我們已經告訴過您的那樣，要創建一個開放的生態系統，讓買家和賣家可以見面並進行交易。令人興奮的功能之一是，我們實際上能夠做到這一點，並將廣告詞、廣告商和AdSense 發布商以及所有雙擊廣告商和發布商無縫集成，這只是收購之初的願景的一部分。我們還努力實現非常非常快的即時性，因此您實際上可以對買家進行即時出價，跨所有發布商管道進行即時收益管理，並協助正確地解決問題。所以我們對事情的進展非常非常樂觀。

Thanks, Jonathan. Perhaps the next question we can take from Sandeep Aggarwal of Collins Stewart. What were the trends for search spend by small and medium sized advertisers during the quarter?

謝謝，喬納森。也許我們可以從柯林斯·史都華的桑迪普·阿加瓦爾那裡得到下一個問題。本季中小型廣告商的搜尋支出趨勢如何？

This is Jonathan. I think in general we saw fewer macro economic effects with the small and medium sized advertisers from the beginning of the recession than we saw with large advertisers. Larger advertisers I think were faster to cut as the recession began and they were stronger and faster to rebound as things came back. So the main trend that I think we saw that characterized the last quarter was the larger advertisers coming back. Patrick, is that correct?

這是喬納森。我認為總的來說，從經濟衰退開始，我們對中小型廣告商的宏觀經濟影響比對大型廣告商的影響要小。我認為，隨著經濟衰退的開始，規模較大的廣告商會更快地削減開支，而隨著經濟復甦，他們會變得更強大、更快地反彈。因此，我認為我們看到上個季度的主要趨勢是更大的廣告商回歸。派崔克，這是正確的嗎？

That's correct. I mean, that's why we emphasized it, because you will remember we discussed in Q1 and Q2 how the big advertisers pulled back out and the SMB, small and medium businesses were holding their own, and what really we saw in Q3 was the big advertisers, depending on the verticals again, depending on the geographies. Not everything is the same everywhere but for -- these are the ones that made quite a significant difference in the quarter.

這是正確的。我的意思是，這就是我們強調這一點的原因，因為你會記得我們在第一季和第二季討論了大型廣告商如何退出，中小企業、中小企業如何堅守自己的地位，而我們在第三季真正看到的是大型廣告商，再次取決於垂直行業，取決於地理位置。並非所有地方的一切都一樣，但這些是在本季產生相當大差異的因素。

Okay, the next question is from Richard Fetyko of Merriman Curhan Ford. What are your intentions with the acquisition of On2?

好的，下一個問題來自 Merriman Curhan Ford 的 Richard Fetyko。您收購On2的意圖是什麼？

Clearly this is--.

顯然這是——。

I mean, On2 is a publicly traded company, and the deal hasn't closed, so I don't think we can answer that specifically.

我的意思是，On2 是一家上市公司，交易尚未完成，所以我認為我們無法具體回答這個問題。

So in Q4. Wait for the deal to close, then ask us the question again.

所以在第四季。等待交易完成，然後再次向我們詢問問題。

Yes, we'll keep improving video quality and delivery.

是的，我們將不斷提高視訊品質和交付。

The next question is from Mark May of Needham. Please provide more color on your hiring plans, what functional areas and geographies will be most impacted.

下一個問題來自尼達姆的馬克·梅。請提供更多關於您的招聘計劃的信息，以及哪些職能領域和地理位置將受到最大的影響。

Again, if you use the -- rather than to give you a specific answer, I think that if you -- if I was an analyst, kind of thinking through our own models, the next $1 billion of revenue doesn't require linear hiring in finance. So it really is about innovation, so I think that you can think through our organization and think through, if we really want to focus in the areas of engineering and the areas of sales, and support, then it tells you, really where we're going to focus our hiring. Then obviously there's a number of other areas that we'll continue to grow just because with more businesses you have the complexity of more businesses, so you do need the more lawyers, you need the more this more that. But the real bulk of it is really focused on the engineering community and the sales and support community that really drive these eco-systems. That's how we're thinking about it.

再說一次，如果你使用——而不是給你一個具體的答案，我認為如果你——如果我是分析師，透過我們自己的模型進行思考，接下來的 10 億美元收入不需要線性招聘在金融領域。所以這確實是關於創新，所以我認為你可以仔細思考我們的組織，如果我們真的想專注於工程、銷售和支援領域，那麼它會告訴你，我們真正在哪裡。我們會把重點放在招聘上。顯然，我們將繼續發展許多其他領域，因為隨著業務的增加，業務的複雜性也隨之增加，因此您確實需要更多的律師，您需要的律師就越多。但真正的大部分真正集中在真正推動這些生態系統的工程社區以及銷售和支持社區。我們就是這麼想的。

Next question from Jeff Lindsey of Bernstein. Did you enter into a financial agreement with Verizon such as a rev sharing order to persuade them to put Android funds or did they elect -- elect to select Android without a financial incentive?

下一個問題來自伯恩斯坦的傑夫林賽。您是否與 Verizon 簽訂了財務協議（例如收益共享令）來說服他們投入 Android 資金，或者他們選擇在沒有經濟誘因的情況下選擇 Android？

This is Jonathan, what we announced was a strategic agreement to deliver mobile devices to consumers based on the wonderful open source Android operating system we have which is going to be serviced and powered by Verizon's great nationwide network. We don't comment on specifics of the deal, but I think we certainly collectively have the same goals of getting some of these great Internet-connected smartphones into the hands of consumers.

我是喬納森，我們宣布的是一項戰略協議，旨在向消費者提供基於我們擁有的出色的開源 Android 作業系統的行動設備，該作業系統將由 Verizon 強大的全國網路提供服務和支援。我們不會對交易的具體細節發表評論，但我認為我們當然有共同的目標，就是讓一些出色的連網智慧型手機交給消費者。

The next question is from Jim Friedland of Cowen & Company. How will you be accounting for average [growth] revenues on the ad exchange on a gross or net basis?

下一個問題來自 Cowen & Company 的 Jim Friedland。您將如何計算廣告交易平台上的總收入或淨收入的平均[成長]收入？

Jim, why don't we get back to you? I'm pretty sure we're doing it on a gross basis and then airing it out forwards but I -- we'll get back to you on it.

吉姆，我們為什麼不回覆你呢？我很確定我們是在總體基礎上進行的，然後將其轉發出去，但是我們會盡快回覆您。

Okay, great. Next question is, Imran Khan of JPMorgan. How much of your sequential growth was driven by ad quality improvement?

好的，太好了。下一個問題是摩根大通的伊姆蘭汗。您的環比成長有多少是由廣告品質改進所推動的？

Again, we don't tend to break that out. We had a very good quarter from an ads quality perspective. I can tell you the significant things that we did, the biggest things probably in order, or close to order were the UI tweaks that we did to the search results page as we changed the maximum width, decreasing the spacing between the search results and the right hand side ads on wide screens. So with that bit of increase the click through rate on the right hand side adds and I think we did that sometime around the second week in August.

再說一遍，我們不傾向於打破這一點。從廣告品質的角度來看，我們度過了一個非常好的季度。我可以告訴你我們所做的重要事情，最重要的事情可能是按順序或接近順序是我們對搜尋結果頁面所做的UI 調整，因為我們更改了最大寬度，減少了搜尋結果和頁面之間的間距。寬螢幕上的右側廣告。因此，隨著右側點擊率的增加，我認為我們在八月第二週左右的某個時間做到了這一點。

We also had some significant ad improvements like site links that basically allow additional links to categories and deeper advertisers of a site which you can see. If you run a query maybe on something like Chevy, you'll see the Silverado, the Malibu, you'll see more information that, which increased click through rates. We also did some more work on showing more good ads and expanded match but we don't give a specific sense of exactly the percentage that that resulted in. The more significant of the changes occurred in mid-August.

我們還進行了一些重大的廣告改進，例如網站鏈接，基本上允許附加鏈接到您可以看到的網站的類別和更深層次的廣告商。如果您對雪佛蘭之類的產品進行查詢，您會看到 Silverado、Malibu，您會看到更多信息，這會增加點擊率。我們還做了更多的工作來展示更多優質廣告和擴大匹配範圍，但我們沒有具體說明所產生的百分比。更重要的變化發生在 8 月中旬。

Thanks, Jonathan. The next question is from Doug Anmuth at Barclays. As the dollar has weakened how are you thinking about your hedging program? Will you scale it down going forward? Was the declining quarter over quarter cost of hedging in Q3 due to less volatility or less exposure?

謝謝，喬納森。下一個問題來自巴克萊銀行的道格·安姆斯。隨著美元走弱，您如何考慮您的對沖計劃？今後你會縮小規模嗎？第三季對沖成本較上季下降是否是由於波動性減弱或風險暴露減少所致？

So Doug, thanks for your question. Let me answer it in two, three different ways. First is, clearly the -- there was less volatility in Q3 and we had taken, you will remember in Q2, because it was so much more volatile in Q1 and Q2, we've taken a lot more because of FAS 133 of these hedging costs through the P&L at that that time and therefore less volatile and in Q3, the combination of less volatility and already taken big write-downs created less expenses for the quarter itself. So that's one piece.

道格，謝謝你的提問。讓我用兩三種不同的方式來回答這個問題。首先，很明顯，第三季度的波動性較小，您會記得在第二季度，我們採取了更多措施，因為第一季度和第二季度的波動性更大，由於這些對沖的FAS 133，我們採取了更多措施當時的損益表中的成本，因此波動性較小，在第三季度，較小的波動性和已經進行的大幅減記相結合，為本季度本身帶來了較少的費用。所以這是一件。

Going forward, if international revenue continues to grow, it will create more exposure for us, and in that sense will require more attention on the hedging side. So that's how to think about the second part of your question.

展望未來，如果國際收入持續成長，將為我們帶來更多的曝險，從這個意義上說，我們需要在對沖方面給予更多關注。這就是如何思考你問題的第二部分。

In the question of are we scaling it back, will we scale it back, clearly not in the sense that when you look at all the benefits we gained last year from this program, it is seen as insurance. It's managed as insurance, and therefore, there's no plan on scaling it. Having said that, there is a plan for review of it on a constant basis and formally annually as we build our plan for the Board and we go back. If there is areas where we can actually be smarter in terms of more deductibles, if you have less volatility or there's a science to this, right, and we are running an -- it's not a blind exercise, it's running an optimum curve where there's actually a specific point where we're trying to manage to and you try to minimize the cost, obviously for the maximum benefits and that's how we're thinking about it and that's what we'll manage going forward.

在我們是否縮減規模的問題上，我們是否會縮減規模，顯然不是指當你看到我們去年從該計劃中獲得的所有好處時，它被視為保險。它作為保險進行管理，因此沒有擴展它的計劃。話雖如此，當我們為董事會制定計劃並返回時，我們有一個定期、每年正式審查的計劃。如果在某些領域我們實際上可以在更多免賠額方面變得更聰明，如果波動性較小或者有科學依據，對吧，我們正在運行——這不是盲目的練習，而是運行一條最佳曲線，其中存在實際上，我們正​​在努力設法做到這一點，而您則試圖將成本降至最低，顯然是為了獲得最大的收益，這就是我們的思考方式，這就是我們未來將管理的內容。

In general about the dollar weakening, I think there may be, for anybody who has a perception that the dollar is going to continue to weaken over the coming two, three, four years, if you made that case, then you'd say, well, you don't need your hedging program. That's the danger that every hedging program falls into which is people will say why are you investing this much this quarter into a hedging program that has no benefit because I know the dollar is only going to weaken and then the next thing you know we have a crisis like we had last year and then they say, hey where's your hedging program. So it is insurance, it's part of doing business in a business like ours, and I will refer you back to the very first two points I've made which is it's about finding an optimal point, making sure that we're finding the best economic value for these hedging programs and then it will be driven a lot by the market itself and the exposures we have. But we're putting a lot of science into this obviously.

總的來說，關於美元走弱，我認為，對於任何認為美元在未來兩年、三年、四年內將繼續走弱的人來說，如果你提出這種觀點，那麼你會說，好吧，你不需要對沖計劃。這就是每個對沖計劃都會陷入的危險，人們會說為什麼你這個季度要在一個沒有任何好處的對沖計劃上投資這麼多，因為我知道美元只會走弱，然後你知道接下來我們會發生什麼？就像我們去年遇到的危機一樣，然後他們說，嘿，你的對沖計劃在哪裡。所以它是保險，它是像我們這樣的企業開展業務的一部分，我將請您回顧我所說的前兩點，即找到最佳點，確保我們找到最佳點這些對沖計劃的經濟價值將在很大程度上是受到市場本身和我們所擁有的風險敞口的驅動。但顯然我們在這方面投入了大量的科學知識。

Okay, great, thank you. The next question is from Wayne Cheng of Canaccord Adams. Could you comment on the level of monetization change to YouTube and future thoughts on aligning those strategic goals for video to over the top distribution?

好的，太好了，謝謝。下一個問題來自 Canaccord Adams 的 Wayne Cheng。您能否評論一下 YouTube 的盈利變化水平以及未來將影片策略目標與頂級分發相結合的想法？

This is Jonathan. I guess I don't know exactly what "over the top distribution" means but I certainly know a lot about what's going on from a monetization perspective on YouTube, so let me try to focus on that. I think we've said before we're monetizing more than a billion video views every week, and that the monetizable views have increased more than three times in the last year. So the model there is making partners money and the success of content idea I think over the course of the last several months has been a big part of that. Usage and traffic continues to be very, very strong, and we're now doing a good job of monetizing across the four activities that Chad tends to refer to on the site. The home page ads are going great, we sold out the US YouTube home page over significant periods of time. We're making great progress on the search videos. If you look at the promoted videos on the right hand side, if you put in a query for something like soccer, the watch videos with the instream ads are going well and we're getting some interesting videos uploaded and better engagement with the user community if you take a look at the Quaker Oats contest that's running now on awakening your senses challenge, we're seeing a lot of interest there. So I think across the board things are going very, very well from a monetization perspective with YouTube.

這是喬納森。我想我不太清楚「頂級發行」的確切含義，但我當然對 YouTube 上的盈利角度了解很多，所以讓我試著重點關注這一點。我想我們之前已經說過，我們每週將超過十億次影片觀看次數貨幣化，而去年可貨幣化的觀看次數增加了三倍多。因此，那裡的模式是為合作夥伴賺錢，我認為過去幾個月內容創意的成功是其中的重要組成部分。使用量和流量仍然非常非常強勁，我們現在在查德傾向於在網站上提到的四項活動中做得很好。主頁廣告進展順利，美國 YouTube 主頁在很長一段時間內銷售一空。我們在搜尋影片方面取得了巨大進展。如果您查看右側的推薦視頻，如果您查詢足球等內容，則帶有插播廣告的觀看視頻進展順利，我們上傳了一些有趣的視頻，並與用戶社區進行了更好的互動如果您看看現在正在進行的關於喚醒你的感官挑戰的桂格燕麥比賽，我們會看到很多人對此感興趣。因此，我認為從獲利角度來看，YouTube 的整體進展非常非常順利。

The next question is also on display from Jeetil. With the strong gains you're seeing in the display ad business can you discuss whether these gains are a function of share gains and online display ads or do these dollars represent new dollars being allocated to the Internet from offline?

Jeetil 也展示了下一個問題。鑑於您在展示廣告業務中看到的強勁收益，您能否討論一下這些收益是否是份額收益和在線展示廣告的函數，或者這些美元是否代表從線下分配到互聯網的新美元？

This is Jonathan again, we certainly talked about how happy we are with the growth of the display business, we don't typically comment on our market share. I do think display has huge potential. I think we're -- our goal is to obviously help the overall pie grow, and I think we've succeeded because we're offering great performance to advertisers, and we're going to continue to grow revenue for our publishers. I think significant portions of dollars are coming off-line to on-line.

這又是喬納森，我們當然談到了我們對顯示器業務的成長感到多麼高興，我們通常不會評論我們的市場份額。我確實認為顯示具有巨大的潛力。我認為我們的目標顯然是幫助整體蛋糕成長，我認為我們已經成功，因為我們為廣告商提供了出色的表現，我們將繼續為出版商增加收入。我認為很大一部分美元正在從線下轉移到線上。

The next question is from Jeff Lindsey. Is search on mobile devices cannibalistic to PC search or is it additive?

下一個問題來自傑夫林賽。行動裝置上的搜尋是與 PC 搜尋相蠶食還是相加？

I think -- and, Jonathan, you'll jump in on this as well. I think that the most exciting thing about mobile is that even though there may be at the margin some stuff that's kind of overlapped it's essentially a new space. Because it's a new space, and there's been a lot of research done on this. There was one, for example, there was one research that I read not long ago where by the end of 2011 or the end of 2012 the research talks about smartphones surpassing the global PC in sales. So you end up in a world where it's an "and" world rather than an "or" world where you live very differently with your mobile device than the PC, but Jonathan, maybe you'd like to add comment on it?

我想——喬納森，你也會參與其中。我認為移動領域最令人興奮的事情是，儘管邊緣可能有一些重疊的東西，但它本質上是一個新的空間。因為這是一個新的領域，並且對此進行了大量的研究。例如，我不久前讀到一項研究，到2011年底或2012年底，該研究談到智慧型手機的銷量超過了全球PC。所以你最終會進入一個「和」的世界，而不是一個「或」的世界，你在行動裝置上的生活與在 PC 上的生活截然不同，但是喬納森，也許你想對此添加評論？

Well, I think that the intuitive way to think about it is really that it's largely noncannibalistic. Because, think about it. Having search with you at all times basically opens up new opportunities no matter where you are at the time of day. So certainly a search that somebody was able to do because they had their mobile phone with them when they're away from their desktop is unlikely to be cannibalistic. The other thing that we can actually see in the data is the complementary aspect of the usage patterns across time of day and day of week. You see more port usage increase in the middle of the day at lunch. You see it increase after work, you see it increase over the weekend. So I think some of those dynamics suggest that it's largely not cannibalistic but we need to continue to gather data there to better understand it.

嗯，我認為直觀的思考方式是它基本上是非同類相食的。因為，想一想。無論您在一天中的什麼時間，隨時隨地進行搜尋基本上都會帶來新的機會。因此，如果有人在離開桌面時帶著手機就能夠進行搜索，那麼肯定不會是自相殘殺。我們實際上可以在數據中看到的另一件事是一天中不同時間和一周中不同日期的使用模式的互補方面。您會發現中午午餐時連接埠使用量增加更多。你會看到它在下班後增加，你會看到它在周末增加。所以我認為其中一些動態表明它在很大程度上不是同類相食，但我們需要繼續在那裡收集數據以更好地理解它。

The next question is from Ben Schachter. Will we see more video ads within the Google search pages? And how will the YouTube sales force work with the existing bidding system for Google.com?

下一個問題來自本·沙赫特。我們會在 Google 搜尋頁面中看到更多影片廣告嗎？ YouTube 銷售人員將如何與 Google.com 現有的出價系統合作？

Yes, you're definitely going to -- we're going to show more videos on Google.com, like we have that Plus Box now in some queries, typically the queries that you see it on today are limited to entertainment and movies. I think there's some good product demonstrations. I think type in "Astro Boy" I think that's an example that will generate one of the Plus Boxes. So I think we're pretty encouraged by the user and the advertiser responses there and we're going to keep investing in expanding that some more. I think that we want those formats ultimately to merge with the YouTube efforts from a sales and product perspective, which we're working to do.

是的，您肯定會 - 我們將在 Google.com 上顯示更多視頻，就像我們現在在某些查詢中使用 Plus Box 一樣，通常您今天看到的查詢僅限於娛樂和電影。我認為有一些很好的產品演示。我認為輸入“阿童木”我認為這是一個將產生一個加號框的範例。因此，我認為用戶和廣告商的反應非常鼓舞我們，我們將繼續投資以擴大這一範圍。我認為我們希望這些格式最終能夠從銷售和產品的角度與 YouTube 的努力相結合，我們正在努力做到這一點。

Another question on display from Sandeep Aggarwal, what are the top three hurdles Google needs to cross to be significant player in display advertising?

Sandeep Aggarwal 提出的另一個問題是，Google要成為展示廣告領域的重要參與者，需要克服的三大障礙是什麼？

I think we sort of covered some of those already. I think that we talked on the first call -- you've got to make it easier for the advertisers to run their campaigns. We've got to get the demand for the publisher ad inventory. I think publishers are mostly interested in forecasting, they want to extract the maximum value from the inventory that they have, they want us to be able to use products like network builder much more easily to manage their inventory across all of their sites. On the other side, the advertisers basically want to use products like the Ad Planner product that we have so they can get much better at targeting relative to specific audiences. We launched demographic data in Ad Planner for, I think, 9 or 10 markets this last year -- this last quarter, adding the UK, France, Japan, Brazil, Australia and others. So it's just basically an effort around fixing what historically has been a very fractured and complex ad eco system and making it easier for the advertisers and the publishers to engage and thereby grow the pie for everyone.

我想我們已經涵蓋了其中一些內容。我想我們在第一次通話時就談到了——你必須讓廣告商更容易開展他們的廣告活動。我們必須了解發布商廣告資源的需求。我認為發布商最感興趣的是預測，他們希望從他們擁有的庫存中獲得最大價值，他們希望我們能夠更輕鬆地使用網頁建立器等產品來管理他們所有網站上的庫存。另一方面，廣告商基本上希望使用我們擁有的廣告規劃器產品等產品，這樣他們就可以更好地針對特定受眾進行定位。我認為去年（即最後一季）我們在 Ad Planner 中推出了 9 或 10 個市場的人口統計數據，其中還包括英國、法國、日本、巴西、澳洲等。因此，這基本上只是為了修復歷史上非常支離破碎和複雜的廣告生態系統，讓廣告商和出版商更容易參與，從而為每個人做大蛋糕。

Just the way the question is written, I think that it is important to understand that in many ways Google is a very significant player in display today. The question is, it is a model that's very fragmented, it's a model that's really -- has a ton of inefficiencies and many people would like to participate in the model where they -- if there was an exchange, if there was a place where a publisher could actually interact in an efficient basis from that way, and that perspective, I think it's really a story about fixing an industry that is really cumbersome and a lot of upside rather than a story of, are we catching up in some way, shape, or form.

正如問題的寫法一樣，我認為重要的是要理解，在很多方面，谷歌在當今的展示領域都是一個非常重要的參與者。問題是，這是一個非常分散的模型，這個模型確實效率低下，很多人都願意參與這個模型，如果有交易所，如果有一個地方出版商實際上可以通過這種方式進行有效的互動，從這個角度來看，我認為這實際上是一個關於修復一個非常麻煩且有很多好處的行業的故事，而不是一個我們是否在以某種方式迎頭趕上的故事，形狀，或形式。

Thanks, Patrick. The next question is from Christa Quarles of Thomas Weisel. On the display side we hear from marketers and agencies that they are interested in products that are not IAB standard, i.e. screen takeovers, how important is this business for you and how does it complement what you're doing on the exchange?

謝謝，派崔克。下一個問題來自 Thomas Weisel 的 Christa Quarles。在顯示方面，我們從行銷人員和代理商那裡得知，他們對非IAB 標準的產品感興趣，即螢幕接管，這項業務對您來說有多重要？它如何補充您在交易所所做的工作？

Well, we're trying to build display products for all advertisers out there, both on the branded side and on the performance display side. So obviously we want to support creativity as part of our strategy and everything that we do -- we've been working on a bunch of tools focused on this within Double Click as well as within AdWords. The Double Click rich media studio basically being the main focus, so we're going to keep building and differentiating the products and trying to find ways to bring more accountability, showcase the ROI, and let the advertisers and publishers benefit from our innovations there. Exactly how that will manifest itself in terms of what may today be non-IAB standard formats I can't say.

好吧，我們正在努力為所有廣告商打造展示產品，無論是品牌方面還是效果展示方面。顯然，我們希望將支援創造力作為我們的策略和我們所做的一切的一部分 - 我們一直在 Double Click 和 AdWords 中開發一系列專注於這一點的工具。 Double Click 富媒體工作室基本上是主要焦點，因此我們將繼續建立和差異化產品，並努力尋找方法來帶來更多責任，展示投資回報率，並讓廣告商和發布商從我們的創新中受益。我無法確切地說，這將如何以今天可能成為非 IAB 標準格式的方式體現出來。

The next question is from Youssef Squali from Jefferies. How does the Google Exchange differ from other like Right Media and how does Google overcome the lack of tier 1 inventory?

下一個問題來自 Jefferies 的 Youssef Squali。 Google Exchange 與 Right Media 等其他交易所有何不同？Google 如何克服一級庫存不足的問題？

I believe that the Exchange will have all types of inventory including tier 1 inventory, plain and simple.

我相信交易所將擁有所有類型的庫存，包括一級庫存，簡單明了。

Next question is from Jim Friedland again. A follow-up to Jonathan's comment that display is compelling in the mobile environment. If mobile display is a material opportunity would the Company consider monetizing Google products such as G-Mail on Mobile with display ads?

下一個問題又是吉姆·弗里德蘭提出的。喬納森關於顯示在行動環境中引人注目的評論的後續內容。如果行動顯示是一個重大機會，公司是否會考慮透過顯示廣告透過 Google 產品（例如行動版 G-Mail）獲利？

Would we consider something? Sure, we'd consider something. I think that mail on Mobile may be a little bit more difficult to aggressively monetize. Again, because you're dealing with the small screen size there, and it's a little bit more difficult to find adjacent room that doesn't get in the way of a mail message. Certainly we're open to better ways of doing display on the mobile devices. It's not immediately obvious to me intuitively that G-Mail would be a more monetizable opportunity on mobile devices than it is on desktop devices. But we're certainly going to watch and see how mobile plays out. We're certainly -- there's some good examples there with popular apps, Urbanspoon, Shazam and others where I think we can get a sense of how some ad formats work and see whether or not there are opportunities there. I would be hesitant to really launch functionality that significantly adverses peoples ability to read their mail.

我們會考慮一些事情嗎？當然，我們會考慮一些事情。我認為行動裝置上的郵件可能更難以積極地貨幣化。同樣，因為您正在處理那裡的小螢幕尺寸，並且找到不妨礙郵件訊息的相鄰房間有點困難。當然，我們對在行動裝置上進行顯示的更好方式持開放態度。從我的直覺來看，G-Mail 在行動裝置上比在桌上型電腦上會是一個更賺錢的機會，這一點並不是很明顯。但我們肯定會觀察行動裝置的表現。我們當然有一些很好的例子，包括流行的應用程式、Urbanspoon、Shazam 和其他應用程序，我認為我們可以了解一些廣告格式的工作原理，並看看那裡是否有機會。我會猶豫是否要真正推出嚴重損害人們閱讀郵件能力的功能。

The next question is from Christa Quarles. Other cost of revenue excluding depreciation was just 5.7% of gross revenues which is quite a bit lower from a year ago. Can you provide an explanation, is YouTube more efficient, are you guys serving costs lower?

下一個問題來自克里斯塔·誇爾斯。不計折舊的其他收入成本僅佔總收入的 5.7%，比一年前低很多。您能否解釋一下，YouTube 是否更有效率？你們的服務成本是否更低？

The answer is yes, so we are more efficient. And even depreciation, if you look at depreciation quarter over quarter and year-over-year, essentially, when Eric talked a bit earlier about the fact that we really over the last year for an architectural point of view really did a number of changes to be much more efficient, we got the benefits of that and we get the benefits on the machine utilization but we also get it on the network side so overall you see it both in the OpEx side as well as the depreciation side. So it is -- it's part of the puzzle for that category. So I'm really happy that we're continuing to push hard in that area.

答案是肯定的，所以我們的效率更高。甚至折舊，如果你看一下逐季度和逐年折舊，本質上，當埃里克早些時候談到這樣一個事實時，我們在過去一年中從架構的角度確實做了一些改變效率更高，我們得到了它的好處，我們得到了機器利用率的好處，但我們也在網路方面得到了它，所以總的來說，你在營運支出方面和折舊方面都看到了它。確實如此——這是該類別難題的一部分。所以我真的很高興我們在這個領域繼續努力。

Okay, then next question is from Mark Mahaney of Citi, have Sergey and Larry's roles within the Company changed materially over the past few years? Are they still as actively involved as in the past?

好的，那麼下一個問題是花旗銀行的馬克·馬哈尼(Mark Mahaney) 提出的，在過去幾年中，謝爾蓋(Sergey) 和拉里(Larry) 在公司內的角色是否發生了重大變化？他們還像過去一樣積極參與嗎？

Jonathan--?

喬納森——？

Maybe it's easier. They're still my boss -- I guess, really, the most significant change probably for you all is that they're not on the earnings call which they were in the past, but generally I think they're just as engaged and involved in the state of the business as they always have been. I think as a management team we're trying to do a better job of dividing and conquering across different products and different applications. So I think many of the folks on Eric's management team are more specifically focused on particular areas. Sergey, for example, is diving deep on the social side. Larry is very involved in Chrome OS and Android. So I think -- they continue to be very, very much engaged. I think that all of us on the management team are trying to get focused on specific efforts within the business because the businesses now are so large that we can't all focus on everything.

也許這更容易。他們仍然是我的老闆——我想，真的，對你們所有人來說最重要的變化可能是他們不再像過去那樣參加財報電話會議，但總的來說，我認為他們同樣積極參與業務狀況一如既往。我認為作為一個管理團隊，我們正在努力更好地劃分和征服不同的產品和不同的應用程式。因此，我認為埃里克管理團隊中的許多人都更專注於特定領域。例如，謝爾蓋正在深入研究社交領域。 Larry 非常熱衷於 Chrome 作業系統和 Android。所以我認為——他們仍然非常非常投入。我認為管理團隊中的所有人都在努力專注於業務內的具體工作，因為現在的業務太大了，我們不可能都專注於所有事情。

I think it's fair to say, Jonathan, that there are incredibly involved. I mean, in my mind, these two founders, we see them daily, we see them through the week. On the areas where they're focused they're incredibly focused, they're very present. I get -- Larry, to this day, right, continues to review every hire every week. There's a presence and an active presence from both of them that continues to be incredibly energizing because it's so great to work day to day with these people. So it's not a question of -- don't assume that because they're not on the earnings call that they're somewhere else and they're kind of half checked out. They're here. We're on e-mail with Larry. I couldn't believe I sent something to Larry the other day, and then an hour later this is on Sunday morning, then we're chatting away. Right? That's the level of involvement these two founders are. They're setting the direction of the Company, leading the Company, and then in the areas where they really have, they're forte, they dig deep on an everyday basis.

喬納森，我認為可以公平地說，其中涉及的因素非常多。我的意思是，在我看來，這兩位創辦人，我們每天都會見到他們，我們一週都會見到他們。在他們所關注的領域，他們非常專注，而且非常在場。我明白了——拉里，直到今天，對，每週都會繼續審查每一位員工。他們兩人的存在和積極的存在繼續令人難以置信地充滿活力，因為與這些人一起每天工作真是太棒了。所以這不是一個問題——不要因為他們沒有參加財報電話會議就認為他們在其他地方，而且他們已經被半檢查了。他們在這兒。我們正在和拉里發電子郵件。我不敢相信前幾天我給拉里發了一些東西，然後一個小時後，這是周日早上，然後我們就開始聊天了。正確的？這就是這兩位創辦人的參與程度。他們設定公司的方向，領導公司，然後在他們真正擁有的、他們擅長的領域，每天深入挖掘。

And they still review every job offer, right?

他們仍然會審查每一份工作機會，對吧？

Yes, they still do. So that gives you a sense of perspective of their involvement. Thanks. Mark, thanks for that question. Because I think it is really -- people kind of always question that, but I think it's really at the heart of why Google is so special.

是的，他們仍然這樣做。這樣你就能對他們的參與有一個大致的了解。謝謝。馬克，謝謝你的提問。因為我認為這確實是——人們總是質疑這一點，但我認為這確實是谷歌如此特別的核心原因。

Okay. Then we're going to take one more question from Jeff Lindsey. How far is the possibility -- how far off is the possibility of using paid first data just for targeting Double Click?

好的。然後我們將回答 Jeff Lindsey 的另一個問題。可能性有多大——僅使用付費第一數據來定位 Double Click 的可能性還有多遠？

This is Jonathan. We can probably take another question because I'm not going to comment on future directions there. It's not something we're currently working on.

這是喬納森。我們可能可以提出另一個問題，因為我不會評論未來的方向。這不是我們目前正在做的事情。

The next question is from Imran Khan at JPMorgan, can you please give us some color on what kind of trends you're seeing in the UK? Can you help us with paid click and CPC trends in the UK?

下一個問題是摩根大通的伊姆蘭汗 (Imran Khan) 提出的，您能給我們介紹一下您在英國看到的趨勢嗎？您能幫助我們了解英國的付費點擊和每次點擊費用趨勢嗎？

We can talk geographically about the UK. Let me just go back to my notes here. So you saw a decline year-over-year, but you saw an increase also quarter over quarter for the UK, primarily due to FX, because of the big changes decline since last year, and then the same thing for quarter over quarter. I think that in general, the UK continues to perform pretty well. I mean, in the grand scheme of things, given the tough economic environment that they have seen in the last little while, you would have thought that they would have been a major pull-back, but the search continues to be there, and the key -- the key verticals that are driving UK continue to be doing relatively well. So I think that there are signs of increasing consumer confidence, and if you think of Q3 for the travel vertical or the retail vertical, I mean, they did kind of okay. Right? So it's not like UK is in the nose dive. UK is holding its own is the best way to portray it.

我們可以從地理角度談英國。讓我回到我的筆記。因此，您看到了同比下降，但英國的環比也出現了增長，這主要是由於外匯，因為自去年以來發生了巨大的變化下降，然後環比也出現了同樣的情況。我認為總的來說，英國的表現仍然相當不錯。我的意思是，從長遠來看，考慮到他們在過去一段時間裡看到的嚴峻的經濟環境，你可能會認為他們會是一個重大的回調，但搜索仍在繼續，而且關鍵——推動英國發展的關鍵垂直行業繼續表現相對良好。所以我認為有跡象表明消費者信心增強，如果你想到第三季的旅遊垂直或零售垂直，我的意思是，他們做得還不錯。正確的？所以英國並沒有陷入困境。英國堅持自己的立場就是最好的形容。

Thanks Patrick. Thanks everyone for joining us today. If you have any follow ups, please let us know. Otherwise we will speak to you next time. Thank you.

謝謝帕特里克。感謝大家今天加入我們。如果您有任何後續行動，請告訴我們。否則我們下次再聯絡您。謝謝。

Thank you all.

謝謝你們。

Thank you.

謝謝。