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The Tech Takeover of Advertising in One Chart

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The Tech Takeover in One Chart

The Tech Takeover of Advertising in One Chart

The Chart of the Week is a weekly Visual Capitalist feature on Fridays.

Both Alphabet and Facebook have carefully worked at crafting their public images.

Most people see these companies as forward-looking tech companies that are shaping our future through high-flying initiatives like Google X or Oculus VR. They put money into big moonshots that could potentially change the world, and their actions are closely followed by people in and outside of the technology sector.

But, despite these other initiatives and some diligent messaging, make no mistake – both Alphabet and Facebook are media companies that get their money from one source.

Advertising makes up the vast majority of their business, and they’ve both become very good at it.

True Ad Dominance

Earlier this year, we put together a chart that broke down the revenues of the large tech companies:

Revenue of Facebook/Google

Facebook earns 97% of its revenue from ads. Meanwhile, Alphabet earns 88% from ads, while getting less than 1% of its revenue from moonshots (at least for now).

Alphabet and Facebook are so good at advertising, in fact, that traditional media can’t keep up – and as a result, companies like CBS, 21st Century Fox, and iHeartMedia are now fighting for scraps.

Three is a Crowd

It’s not just Alphabet and Facebook that have unlocked the secret to ad dominance. They were just the fastest to do so.

China’s search engine giant, Baidu, is quickly climbing the ranks as well. Even though growth slowed in 2016 due to changes in China’s ad rules, the company will eventually be the third-largest media giant in the world. If Baidu can bump ad revenues by another 20%, it’ll move past Comcast, which owns brands like NBCUniversal and Telemundo.

Microsoft is also making its presence felt, debuting in the Top 10 for the first time in 2016. Microsoft’s Bing search network is now in 36 countries, while making up 33% of the U.S. PC search market. On top of that, the company also acquired LinkedIn, which now contributes $1 billion in revenue to the coffers.

The sea change is still in process – but in a couple years, there may not be a single traditional media that makes the top five list for global ad revenues. The tech takeover continues.

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Technology

Ranked: Semiconductor Companies by Industry Revenue Share

Nvidia is coming for Intel’s crown. Samsung is losing ground. AI is transforming the space. We break down revenue for semiconductor companies.

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A cropped pie chart showing the biggest semiconductor companies by the percentage share of the industry’s revenues in 2023.

Semiconductor Companies by Industry Revenue Share

This was originally posted on our Voronoi app. Download the app for free on Apple or Android and discover incredible data-driven charts from a variety of trusted sources.

Did you know that some computer chips are now retailing for the price of a new BMW?

As computers invade nearly every sphere of life, so too have the chips that power them, raising the revenues of the businesses dedicated to designing them.

But how did various chipmakers measure against each other last year?

We rank the biggest semiconductor companies by their percentage share of the industry’s revenues in 2023, using data from Omdia research.

Which Chip Company Made the Most Money in 2023?

Market leader and industry-defining veteran Intel still holds the crown for the most revenue in the sector, crossing $50 billion in 2023, or 10% of the broader industry’s topline.

All is not well at Intel, however, with the company’s stock price down over 20% year-to-date after it revealed billion-dollar losses in its foundry business.

RankCompany2023 Revenue% of Industry Revenue
1Intel$51B9.4%
2NVIDIA$49B9.0%
3Samsung
Electronics
$44B8.1%
4Qualcomm$31B5.7%
5Broadcom$28B5.2%
6SK Hynix$24B4.4%
7AMD$22B4.1%
8Apple$19B3.4%
9Infineon Tech$17B3.2%
10STMicroelectronics$17B3.2%
11Texas Instruments$17B3.1%
12Micron Technology$16B2.9%
13MediaTek$14B2.6%
14NXP$13B2.4%
15Analog Devices$12B2.2%
16Renesas Electronics
Corporation
$11B1.9%
17Sony Semiconductor
Solutions Corporation
$10B1.9%
18Microchip Technology$8B1.5%
19Onsemi$8B1.4%
20KIOXIA Corporation$7B1.3%
N/AOthers$126B23.2%
N/ATotal $545B100%

Note: Figures are rounded. Totals and percentages may not sum to 100.


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Meanwhile, Nvidia is very close to overtaking Intel, after declaring $49 billion of topline revenue for 2023. This is more than double its 2022 revenue ($21 billion), increasing its share of industry revenues to 9%.

Nvidia’s meteoric rise has gotten a huge thumbs-up from investors. It became a trillion dollar stock last year, and broke the single-day gain record for market capitalization this year.

Other chipmakers haven’t been as successful. Out of the top 20 semiconductor companies by revenue, 12 did not match their 2022 revenues, including big names like Intel, Samsung, and AMD.

The Many Different Types of Chipmakers

All of these companies may belong to the same industry, but they don’t focus on the same niche.

According to Investopedia, there are four major types of chips, depending on their functionality: microprocessors, memory chips, standard chips, and complex systems on a chip.

Nvidia’s core business was once GPUs for computers (graphics processing units), but in recent years this has drastically shifted towards microprocessors for analytics and AI.

These specialized chips seem to be where the majority of growth is occurring within the sector. For example, companies that are largely in the memory segment—Samsung, SK Hynix, and Micron Technology—saw peak revenues in the mid-2010s.


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