Google is no more the parent company for all Google products and ventures. They got a new parent company, Alphabet with ultimate power that would board Larry Page as CEO and Sergey Brin as president. So along with the new name many of the Google’s business are now separate entity under Alphabet while the core internet business will stay as Google Inc.
Larry page describes they liked the name Alphabet because it means a collection of letters that represent language, one of humanity’s most important innovations, and is the core of how we index with Google search! We also like that it means alpha-bet (Alpha is investment return above benchmark), which we strive for!
Businesses that will stay a part of Google:
Shareholders will get one Alphabet share for every Google share they previously owned, while Alphabet includes the following entities and will be managed separately.
- Google Inc.
- Calico – biotech research
- Nest – Nest Thermostat and other smart home products
- Google Ventures and Google Capital
- Google X – self-driving cars and delivery drones
Larry Page the founder of Google wrote, “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 (http://abc.xyz). I am really excited to be running Alphabet as CEO with help from my capable partner, Sergey, as President.”
You can read the whole article here: G is for Google.
In the meantime Chennai, India-born Pichai Sundararajan, better known as Sundar Pichai has been appointed as the new CEO of Google Inc.
Larry also wrote, “I feel very fortunate to have someone as talented as he is to run the slightly slimmed down Google and this frees up time for me to continue to scale our aspirations. I have been spending quite a bit of time with Sundar, helping him and the company in any way I can, and I will of course continue to do that. Google itself is also making all sorts of new products, and I know Sundar will always be focused on innovation — continuing to stretch boundaries. “
SO it is clear now with Alphabet Larry plans to control over all communication and the future of business growth.