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Google executives appear Monday that the Company Formerly Known equally Google was rebranding and reorganizing itself into a fundamentally different construction. From this bespeak forward, Google — by which we mean a specific segment of the businesses currently operated nether the Google brand — volition be considered a subsidiary of a new visitor, named Alphabet. Alphabet, co-ordinate to former Google CEO Larry Page (more than on that in a moment) is a collection of companies, of which Google is but one.

The other companies that brand up Alphabet are many of the experimental and project concepts that Google is famous for launching and occasionally killing. Page lists Life Sciences and Calico as ii projects that will now belong to Alphabet, along with its experimental X labs. A Form-8K filing expands on this somewhat — projects now grouped nether Alphabet include Calico, Nest, Fiber, Google's Capital and Venture programs, and the aforementioned Google 10. The core components of Google, like Search, Ads, Maps, Apps, Android, and YouTube, will all remain as Google products, every bit will Chrome.

SundarPinchai

Google's new CEO, Sundar Pinchai

At its simplest, what Google has done is allocate the primary income-generating section of the concern as "Google" and spun everything else off into its own sectionalisation. Brin and Folio are moving from Google over to Alphabet — Page will be the visitor CEO, while Sergey Brin serves equally its president. Google executive Sundar Pinchai has been promoted to the CEO function and will atomic number 82 Google'southward operations. All Google stock has been converted to Alphabet stock, and at that place'southward no change in intrinsic valuation or whatsoever other event that would impact the value of a previous stock purchase (other than a healthy kicking to the underlying stock price since Google appear the move, anyway).

So far, it seems as though this move is designed to requite Brin and Page the opportunity to work on projects and concepts that they've wanted to pursue, while Google focuses on the core components of its business that produce the twenty-four hours-to-mean solar day capital. Google isn't giving up on its pursuit of crazy ideas or wacky concept products. But it'south now explicitly organized in such a manner that makes it articulate that search, ads, and video, while vital to the company'due south income, is just one aspect of its total portfolio. Page seems to see Alphabet every bit a sort of production incubator: "Nosotros are non intending for this to exist a big consumer brand with related products—the whole bespeak is that Alphabet companies should have independence and develop their own brands."

If yous're concerned most whether or not Google'south iconic homepage or approach to delivering Android or other software products will change, you shouldn't exist — things volition remain business-equally-usual at the search giant from this point forward, with no plans to make major changes to Google'southward core products and services. No mention was made of whether or not Google Plus is considered a core service, an Alphabet spinoff, or a fragment of a dream that neither company especially wants. The fact that Google didn't fifty-fifty carp naming its own social network one manner or another could be read every bit its own argument on the perceived value of that attribute of the company.