It's important not to get complacent with big companies. Sure, on the surface it looks like Google are untouchable, Android keeps growing in popularity, net revenue has just risen 29% and then there's Gmail, Blogger, YouTube. You'd be hard pushed to find something online that isn't owned by Google. But behind the surface of the web giant's success is a bit of a jumbled mess. It's not going to crumble, if Google got anywhere near a loss the whole team would be thrown in the skip and replaced. But when there's billions of pounds at stake investors, shareholders and analysts have their beady eye on everything little thing Google does.
At the moment they're worried about Larry Page and his masterplan. Why? Because no one knows what the Hell his masterplan is. Google are clearly trying to do big things we all know for instance that they're trying to make YouTube a rival to cable TV.
But share holders aren't impressed. Shares in Google have fallen as investors worry about the direction of the internet giant under its co-founder and new chief executive. Google stock lost a fairly substantial 5% of its value on Thursday following the company’s first quarter results, leaving it 9% lower since Page replaced Eric Schmidt in January.
Googles quater results see a dip due to Google's $3bn spending spree on various 'business opportunities.' 2,000 new staff have been hired to help find new markets and new technologies and when everyone else is facing cuts and redundancies at Google Salaries were boosted. Anyone know if there's a job going at Google?
Are Wall Street right to be worried or will we see the $3bn spend grow into a huge rise in profits? What Google really want to do is get in on social networking, but is it too late for a new kid on the block?