Facebook India revenues hit $1 billion with massive digital shift in economy

India is not just a huge market in terms of users for Big Tech but also revenues. The revenue of social media giant Facebook India has grown to $ 1 billion owing to a digital boom and the growth of platforms such as Instagram and Facebook.

Facebook's revenue in India during the year 2020-21 increased to Rs 9,000 crore, or $ 1.2 billion, compared to Rs 6,613 crore in the previous fiscal year. Actual figures will be disclosed when California headquarters files the same with the Registrar of Companies.

The platform’s growth in India in recent years has been phenomenal due to a number of factors such as fall in data prices and cheaper smartphones, among other factors.

The lockdown also helped the growth of social media and internet companies, as people stayed home and took to the internet for everything from entertainment and studies to shopping. Online advertising benefitted majorly from the digital push from which tech players such Google and Facebook benefitted majorly.

"The past year has seen a inflexion point where consumers not only move online, but also engage deeply with businesses and brands online. This has resulted in higher spending on online marketing than it has resulted in the growth of digital advertising in India, "said Ajit Mohan, Managing Director of Facebook India.

Shashi Sinha, CEO of advertising company IPG, expects the digital market to grow by about 40% this fiscal year. Digital consumption shot up last year. The trend is irreversible, he added.

Ashish Bhasin, CEO of Dentsu Asia-Pacific, said that digital companies has been getting deeper into the economy. Both large and small businesses use the Internet to connect with their customers. The Internet continued to function even when the world shut down. He added that the change in consumer behavior during the lockdown is here to stay.

Also Read: Cyient acquiring consultancy firm WorkForce Delta for $2.7mn