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can you provide any sources to how they make so little money in India?

as far as I know, India is one of the countries where google dominates in search. Which is not the case in China, google is not a major search engine in China. I just can't imagine they pulling out of India.

They just recently had heart warming google advertisements in TV which is very rare for google to do.

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I think they made only 300 or so million revenue in the last 3 years, and as for profits much less, which completely out of proportion with the proposed fine (no sources for this, just word of mouth). India is still a developing market, advertisers don't pay as much as in the developed world.

The ad is probably ran because of the government...they want to build some support with the people so they are treated better.

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