I suppose restructuring a company as large as Google, with its many different departments as well as spin offs, is far from being as easy as A-B-C. Ironically, a major restructuring of Google saw an announcement made earlier today that Google will now be under the ownership of a publicly traded umbrella company that is called Alphabet. Alphabet will be helmed by CEO Larry Page, while Sergey Brin will be president of the holding company. Where is Eric Schmidt’s role in all of this? Well, he will be the Executive Chairman, and this means that there will be a new Google CEO – none other than Sundar Pichai himself.
With Alphabet in the picture, Google will now report separate financial reports. I am sure investors would be keen to know just what kind of businesses will operate under the Google name, and it looks like things remain pretty much status quo with the likes of search, ads, maps, apps, YouTube and Android being under the Google umbrella.
As for businesses in the vein of Nest, Fiber, Google Ventures, Google Capital, and Google X, all of those will no longer fall under the purview or responsibility of Google once the restructuring is complete. Another important question to consider would be, how about Google’s stock? Well, it will be converted to shares of Alphabet on a one-to-one basis.
Larry Page, Google co-founder, Alphabet CEO, shared, “Our company is operating well today, but we think we can make it cleaner and more accountable. So we are creating a new company, called Alphabet. I am really excited to be running Alphabet as CEO with help from my capable partner, Sergey, as president.” [Press Release]