Since it became public in 2004, Google has remained on the cutting edge in its industry. By first revolutionizing how internet searches are done, then by introducing countless products such as Google Maps and Google Apps, Google has undoubtedly “changed the game” when it comes to all things tech and digital. Therefore, it was huge news when the tech giant announced this week that it would be restructuring its business and would now be a business subsidiary under a holding company called “Alphabet”.
When a company as influential as Google makes an announcement like this, it is inevitable that businesses everywhere will be wondering how this restructuring will affect them. So how does this affect us as digital marketers?
[caption id="attachment_8728" align="aligncenter" width="457"] Image via: cnn.com[/caption]
What Is Alphabet?
First off, it is important to clarify what exactly Alphabet is. Basically, Google renamed itself “Alphabet” and created a subsidiary business called “Google.” It seems that Google will continue to be the same brand we all know and love, running products we are familiar with including Search, Android, Maps, YouTube, and Google Apps. Alphabet will also be the holding company to many other companies such as Calico and and Google X. Each business will have its own CEO and they will all report to the Alphabet CEO, (former Google CEO) Larry Page. Google’s new CEO is Sundar Pichai, who joined the Google team in 2004.
Alphabet was created to both satisfy investors and add more transparency to Google business. This new structure will separate Google’s “side projects” from Search, which generates 90% of Google’s profits from advertising. As a result, investors will have a better understanding of how Google’s “side projects” are performing and will allow Google to focus more energy into Search. And it seems that investors are happy. Alphabet shares are up 4% since the announcement.
[caption id="attachment_8729" align="aligncenter" width="740"] Image via: abc.xyz[/caption]
What Does This Mean For Digital Marketers?
This announcement had digital marketers everywhere worried about how this would change the future digital landscape. And we are happy to tell you that there is nothing to worry about! Right now, it seems that Search is stable and we shouldn’t see any huge shifts in the digital world. However, it’s important to remember that Google is notorious for constantly changing and improving, and we should expect the same from Alphabet.
Not only do digital marketers have nothing to worry about in the short-term, but this new structure could actually improve Search in the long-term! The separation of companies, each with its own CEO, will probably result in Search getting even more attention than it is now. After all, the organizational restructuring was designed to improve efficiency and accountability. Search has always been a core focus for Google and it is highly possible that it was even one of the driving forces behind the organization’s restructuring. As a result, SEO specialists and digital marketers may see an improvement in their user experience as Google becomes more responsive and adaptive.
[caption id="attachment_8730" align="aligncenter" width="745"] Image via google.com[/caption]
All in all, the future looks positive for digital marketers after Google’s “Alphabet” announcement. We encourage you to check out Alphabet’s new site at abc.xyz and drop us a line if you need any help with your search engine optimization needs!