Google has been accused of giving up on organic growth and taking the slightly easier route of growth via acquisition, but at the very
same time, the company deserves the accolades for making some deserving start-ups very very happy. After all, the company spent whopping $1.4 billion for buying 57 companies in 2011 alone. This figure, of course, does not include the $12.5 billion it has offered for buying Motorola Mobility.
Google had always been a big spender. Last year, it had bought 48 companies. The company recently filed its quarterly statement, which revealed that the company's biggest spending this year was on buying ITA, with a price tag of $676 million. The company spent another $151 million for acquiring Zagat, the restaurant rating site and $114 million for Daily Deals. As it is very obvious from the transactions, Google is pretty much meddling in every imaginable business. How much these acquisitions are going to make for the internet search company is yet to be seen.
Google has clearly stated, "Acquisitions are an important element of our overall corporate strategy and use of capital, and we expect our current pace of acquisitions to continue." Currently, it is rumored that Google is trying to set up a consortium for filing a bid for Yahoo, which is allegedly on the block. Microsoft is also rumored to be vying for the company. However, Google's Motorola deal is still to be approved by regulatory authorities and in such case, Google will have to do a lot of explaining if it goes ahead and buy Yahoo.