Andre Yoskowitz
10 Aug 2015 17:46
In a massive restructuring, Google has spun off its core Google businesses and created a new holding company for everything else.
The new company, Alphabet, will allow Google founders Sergey Brin and Larry Page to separate the incredibly profitable search and ad businesses from the more world-changing (but not profitable) ones such as self-driving cars and Internet-carrying balloons.
Current Android and Chrome boss Sundar Pichai will become the new CEO of Google, while Page will become CEO of Alphabet. Brin is the president of Alphabet, and former Google CEO and chairman Eric Schmidt will become the executive chairman of Alphabet.
Breaking down the new structure, Google will include search, ads, maps, apps, YouTube and Android while Alphabet will hold Calico, Nest, Fiber, Google Ventures, Google X and Google Capital as "managed separately from the Google business."
"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. Our company is operating well today, but we think we can make it cleaner and more accountable," added Page.