How does google and yahoo earn profits ??



Answer:
Ads!

It's all about traffic.

When the Internet first came out everyone thought you needed a mega-site with a ton of traffic to have effective advertising. Many sites were sophisticated using "cookies" to track you so if you looked at a sports page, then the next site you visited had an ad for sports stuff.

Today, advertisers realize that everyone clicks in a lot of places not just through one site. For example, some of the more popular blog sites make millions of dollars. So, lot's of "little ads" are all over the place. This works well for everyone because we users quickly got used to ignoring flashing images and were offended by pop-ups.
Mostly fomr advertising -- search terms and banners
Ads is the majority of the way they earn profits (probably 98%). They also provide 'upgraded' services, such as email and the other services they offer.
majority by ads, then there might b few business solutions provided my these 2. I m not so sure about it. and the paid mail by yahoo amounts to abt 8%.

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