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Google has announced a massive change! It will now be restructed and will be a subsidiary under a new company called Alphabet. Google’s new parent company is restructuring the ABCs of the giant search engine company and it’s other subsidiary companies. So what is Alphabet? In short, this company will be more accountable holding company which will have multiple companies under its umbrella, according to Larry Page, Google’s Co-Founder who will be acting as the CEO of Alphabet and Sergey Brin as the President.
This sudden move did come as a surprise for many as this was never thought of. With this move all the experimental divisions such as Calico, Fiber, Net, Google X and others will also fall under Alphabet Company and will not be a part of Google as it was earlier.
Google will not in anyhow go away but only being slimmed down with new directors holding the torch allowing the founders of the search engine giant to focus more on other bigger pictures.
The big question, Why this change?
Here’s Larry Page’s statement:
“Sergey and I are seriously in the business of starting new things, We’ve long believed that over time companies tend to get comfortable doing the same thing, just making incremental changes.” “But in the technology industry, where revolutionary ideas drive the next big growth areas, you need to be a bit uncomfortable to stay relevant.”
The plan of the new company will have more management roles will appoint CEOs for each business and will be running independently.
Who’s the new CEO of Google?
The role has now passed on to Sundar Pichai who was the Vice President of Products. Sundar Pichai has been doing quite well in Google and has been rising through the ranks over the past years.
Is this the end of Google?
Not at all. This isn’t a goodbye for google but most of the exciting projects will not be under the ‘Google’ umbrella as it was earlier. Any type of projects that are announced, we always tend to say it’s a Google product. From now, this will change to ‘Alphabet’s Product’.
What remains under Google?
Products such as Android, Chrome, Youtube, Advertising, Search and Google Maps will remain under its belt and the same will be applicable to Google Photos and Google Now.
For Google, as it has been trimmed down, it will now be easier to operate and expand its services keeping other products out of its arena.
What is out of Google?
Businesses that are spinning off from Google are:
- Ventures and Capital
- X Lab
Replace Google with Alphabet
It has become more of a habit now linking anything that Google brings to be a Google product. Be it Next, Fiber, Calico etc, whatever is announced, we always refer it to be Google’s product. Getting used to the name ‘Alphabet’ will be hard but this is how it will be from now on. Google will remain to focus more on the tech world with Youtube, Android and Search under its belt. No worries, Even the upcoming Nexus Phones, will be called the Google Nexus 6 or Google Nexus 8 instead of Nexus Phones.
Alphabet’s focus, simply, is the future so there’s an ample amount of time to get used to the new naming.