Born Sundar Pichai Named New CEO Of Restructured Google

Looking at Google before the transition to Alphabet, it was a company with very diverse interests from life sciences and media to maps and search engines.

In his post, Page explained that restructuring the company would provide better management scale by running unrelated projects independently.

So, in a nutshell, how does Google’s change affect you and me? Google has created a new mother company, Alphabet, and Google Founder Larry Page will be its CEO. A BMW spokeswoman said Tuesday that the automaker was not informed ahead of time of plans by Page and Brin to create a company called Alphabet and had not received any offers to buy the Internet domain or the trademark.

The company’s broad push into new business areas such as healthcare has raised eyebrows among some investors, who have expressed concerns that the company could take its eye off its core business and damage profitability. All shares in Google, Inc. will be transformed into shares into Alphabet, Inc. And, like any good holding company, it’ll probably help them pull off some more tax tricks to cut that bill down, too. Sundar Pichai will be promoted from product chief to CEO of the slimmed down Google. In turn, Page said, “This new structure will allow us to keep tremendous focus on the extraordinary opportunities we have inside of Google”.

While Page didn’t get into details, Google is retaining numerous things its already has control over, such as search, Android and YouTube. With a cutesy URL (http://abc.xyz) and Brin at the helm as president, Alphabet will seek to live up to its name as an entity that contains the innovation building blocks upon which all Silicon Valley language is built.

The projects include self-driving cars, Google Glass, Internet balloons, drones, health care, Google TV, mobile payments, home automation and its Google+ social network, among others.

With Page now heading up Alphabet, SundarPichai, a long-time Google executive who most recently served as the company’s senior vice president of products, will head Google. Amazon’s shares have risen by about a third since the company first broke out results for its cloud business in April.

The aim of the operating overhaul is to allow Google to focus on developing its own products, while enabling other Alphabet subsidiaries with the independence to further their own brands.

The Mountain View, California, company’s stock was up about 5 percent in after-hours trading following the announcement Monday afternoon, says a source.