He said the new Alphabet company will allow these new separate divisions the independence to conduct and develop their own innovative efforts.
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Google co-founder Larry Page has said it will create a simpler structure for what had become a diverse group of businesses. But China’s notorious firewall has already gobbled it up, despite extensive coverage of the company’s unveiling in Chinese media, including the Communist Party’s official newspaper, People’s Daily.
Page specifically referenced Google’s healthcare and life sciences ambitions in his announcement.
Google Inc announced a new operating structure Monday, creating a holding company called Alphabet to encompass the search engine unit and other subsidiaries.
In his post, Page explained that restructuring the company would provide better management scale by running unrelated projects independently.
The primary objective of both the tech leaders will now be to handle capital in an efficient way and to ensure that all the businesses that fall under Alphabet execute well.
Stock market watchers will now have to keep an eye out for GOOG and GOOGL, which may change their symbols eventually. “… Recent launches like Google Photos and Google Now using machine learning are unbelievable progress”.
Like many founders, Page and Brin are more excited about launching new ventures than they are about managing existing ones. Also, with a hyphen, alpha-bet means an investment return above benchmark, he said. But for now they will remain the same. Alphabet would be the parent entity, housing several companies, with the biggest among them Google.
Google X, the semi-secret incubator that has spawned projects such as self-driving cars and Wing, a drone delivery service, will move to Alphabet.
Google’s reorganization isn’t expected to affect its mHealth interests that much, though it could allow the Internet giant to take a few more chances with new technology like the much-maligned Google Glass.
“It is clear to us and our board that it is time for Sundar to be CEO of Google”.
Pichai, who holds an MS from Stanford University and an MBA from the Wharton School of the University of Pennsylvania, has worked at Google, founded in 1998, since it went public in 2004, most recently as the senior vice president of products.
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After that, Google vice president Bradley Horowitz reassured that Google+ itself wasn’t dead and would continue as a “connection” platform.
