Google to be part of new holding company, ‘Alphabet’

Google on Monday announced it is changing its operating structure and will become part of a holding company called Alphabet. (AP Photo/Marcio Jose Sanchez, File)

Google on Monday announced it is changing its operating structure and will become part of a holding company called Alphabet. (AP Photo/Marcio Jose Sanchez, File)

Google, which has been expanding far beyond its original business of Internet search advertising, is changing its operating structure by creating a new holding company called Alphabet.

The company says its new structure will give more independence to many of its wide-ranging and ambitious projects.

Under the plan announced Monday, Alphabet will be comprised of the core Google business — including Internet search, mapping and YouTube — along with newer businesses that will be managed separately, such as Google Fiber, Nest and the investment arm Google Ventures.

Google CEO Larry Page will become CEO of the new entity, with his co-founder Sergey Brin serving as president. Longtime Google executive Sundar Pichai, who has taken on increasingly important roles at the company in recent years, will be CEO of the core Google business.

The change may give investors a clearer picture of how much Google is spending on some of its newer ventures, like its effort to build a self-driving car, develop a glucose-sensing contact lens or install high-speed Internet fiber networks in a number of U.S. cities, said Colin Gillis, an investment analyst at BGC Partners.

But it may not signal much change in the current management structure, since Pichai has already been overseeing many of Google’s core operations, Gillis said.

Google Inc. said its new chief financial officer, Ruth Porat, will hold the same title for both Google and Alphabet. Once the reorganization is complete, the company says its two existing classes of publicly traded stock will continue to trade on the Nasdaq exchange under the ticker symbols “GOOG” and “GOOGL.”

The Mountain View, California, company’s stock was up about 5 percent in after-hours trading following the announcement Monday afternoon.AlphabetGoogleLarry PageSergey BrinSunda PichaiUS

If you find our journalism valuable and relevant, please consider joining our Examiner membership program.
Find out more at www.sfexaminer.com/join/

Just Posted

A view of Science Hall at the City College of San Francisco Ocean campus on Thursday, Jan. 14, 2021. (Kevin N. Hume/S.F. Examiner)
CCSF begins search for next chancellor amid new challenges

‘It’s arguably the biggest single responsibility the board has,’ trustee says

Some people are concerned that University of California, San Francisco’s expansion at its Parnassus campus could cause an undesirable increase in the number of riders on Muni’s N-Judah line.<ins></ins>
Will UCSF’s $20 million pledge to SFMTA offset traffic woes?

An even more crowded N-Judah plus increased congestion ahead cause concern

From left, Natasha Dennerstein, Gar McVey-Russell, Lucy Jane Bledsoe, Jan Steckel and Miah Jeffra appear in Perfectly Queer’s fifth anniversary reading on Jan. 20.<ins> (Courtesy photo)</ins>
Perfectly Queer reading series celebrates fifth anniversary

Online event features five writers, games, prizes

(Robert Greene/Tribune News Service)
As tensions grow over vaccinations and politics, California lawmakers face threats from public

Anti-vaccine speakers hint at gun violence during routine budget hearing at state Capitol

Dr. Martin Luther King in Sam Pollard’s ‘MLK/FBI’. (Courtesy of IFC Films/TNS)
The superb documentary ‘MLK/FBI’ clearly connects the past to our troubling present

Justin Chang Los Angeles Times Among the many archival materials excerpted in… Continue reading

Most Read