Major news today is that Google is doing a major overhaul of the company and a rebrand of its corporate entity. The new entity is known as ‘Alphabet’.
The change in structure makes sense. Google was founded on their search product, but overall as a company, they offer far more and varying services/solutions that in no-way relate to search. E.g. Good examples are Google’s health efforts: Life Sciences (that works on the glucose-sensing contact lens), and Calico (focused on longevity of life and tackling age). And of course we all know about Google’s self-driving cars and ‘Wing’, their drone delivery effort.
Google will have a CEO for each business, allowing them to streamline them and have a stronger focus on each company/product.
Shares were up by 6 per cent in after-hours trading, so it will seem this news has been met with positively by the market. Although it seems the new name hasn’t been met with as much enthusiasm. ;)
Here are a few resources if you want to find out more…