This is probably going to be the biggest news of the year, yet we had no idea it was going to happen. Google founders Larry Page and Sergey Brin have started a new company called Alphabet (https://abc.xyz/), which is going to serve as an umbrella company for Google and its significant parts. If you’re wondering why this even needs to happen, you’ll probably remember news like Google investing heavily into the health and robotics sectors, industries which are cool and technological, but don’t really match with Google’s core business of the search, Android, ads, etc. This will allow all these subsidiaries to run independently, which should hopefully give each company – each with its own CEO – enough agility to progress their development as best they can.
While Page and Brin transition into CEO and President, respectively, Sundar Pichai has been given the CEO reins at Google, which is pretty much the best thing ever considering his significant contributions to Android. As for Google’s shares – which shot up 4% after this news – they will be swapped one-for-one for Alphabet shares, but still trading under the GOOG and GOOGL titles.
This is a lot to take in, but it seems like a really exciting move for all of Alphabet’s subsidiaries, and we can’t wait to see how this plays out.
What do you think about Google becoming a subsidiary of Alphabet? Let us know your thoughts in the comments below.
Source: Google via Android Police
