Alphabet Inc, a newly created holding company now covers Google and its product portfolio. Our thoughts about this historic move from Google is now pressed in the blog, check it out.
Google turns another page into its history as co-founder Larry Page announced that the search company and all its portfolio of products and ventures will be under a holding company dubbed as Alphabet Inc. With the company's quest on finding better services through funding and developing new products in different kinds of market, Page and Google co-founder (who is the appointed President of Alphabet Inc.) Sergey Brin, deem that the institution of a new holding company will facilitate a clear structure for Google and its existing products.
According to CEO Larry Page, it is a collection of companies with, of course, Google being the biggest. Likewise, Google will also be "slimmed down" with Sundar Pichai appointed as CEO. Page also believes that "Alphabet" is the building blocks of language which is humanity's most important innovation; thus, making it as the appropriate moniker for the new company.
Just like Android which is entirely based with progression letters in every newer version, Alphabet might be having several product lines on the pipeline which would represent several letters in the alphabet; for one G is already for Google and A is for Android.
With separate leaderships running with the respective companies under the Alphabet's umbrella, it is expected that it will drive more services and focus to each of their respective products. Google will still hold internet services like Search, Maps, apps, YouTube and Android. Other ventures like Capital, Nest (home automation), Ventures, Capital, Calico, ISP Fiber and Goggle Glass-maker X Labs will work as separate entities under Alphabet.
How would Alphabet affect stock traders?
Public-traded stocks under Google will automatically be listed with Alphabet. The two classes of shares will still be GOOGL and GOOG.
With Google shifting gears, we could expect more reliable internet products and new ventures being explored in the near future. What’s even more interesting is how its competitors would respond to this concerted restructuring in the already stable Google-company.