It’s probably a bit of an understatement to say Google has undergone some pretty major changes in the past 24 hours. Not only has Sundar Pichai been appointed the new CEO, but they’ve also somehow created something even bigger than Google itself. Now if you’ve only seen bits and pieces of this floating around your social media feeds, you may be a bit confused about what just happened. Well let us introduce you to Google’s Alphabet — or is it Alphabet’s Google?
First of all, don’t panic! Google is a still a verb (and the beloved search engine) and you won’t be saying you’re going to go “Alphabet” something anytime soon, but here’s what did change. Google has officially created a new parent company called Alphabet (web address: abc.xyz). This means, Google is now much less its own company and much more a service offered by a company. Since Google has never been a “conventional company”, they want to continue to diversify and create new ventures like Nest, the smart thermostat, Google X, the driverless cars and Fiber, their Internet providing company. According to The Guardian, this is partially due to investors wanting to know if their millions were funding the development of the super successful search engine or the very new and risky business of driverless cars. Big difference. This move will give investors a better insight in to what exactly they are investing in and give
So you may be wondering, “Why did they appoint a new CEO if Google isn’t actually changing?”. Simple. In starting Alphabet, Google created a new company, which in turn, needs a new CEO. Larry Page, Google’s current CEO, will now transition into the CEO of Alphabet, which leaves space for Sundar Pichai to step in as Google’s CEO. Essentially, Google is just “spreading out” and assigning new management teams to each venture to increase productivity and run each branch more independently. There have been many different reactions since the official announcement on Monday evening but the 5% jump in Google Stock proves it’s generally positive.
And of course since this is the Internet, we are provided with a wide selection of tweets, blogs and memes about the new Alphabet to keep us entertained for hours. Here’s a few of the best ones we have found so far (there will literally be a million more by tomorrow):
BREAKING: Google has patented the alphabet. You now owe them $0.02 for every word you type or speak.
— JRehling (@JRehling) August 10, 2015
big fan of this google rebrand pic.twitter.com/hXSScf9pSg
— Erik Malinowski (@erikmal) August 10, 2015
PS: Google — er, Alphabet also hid a pretty awesome Easter Egg in its recent announcement which was located in a link attached to the period at the end its “drone delivery” sentence.