JGoogle Giggle...

[dramonte]

"Wow!" is the name of the game when it comes to internet living legend Google. If it were not for the search engine giant's entry into the world of online marketing, then indeed all of our lives would be much different right about now.

Today, CEO of Google announced his position that the company would need to find alternative streams of revenue because search ad saturation had peaked. Wow! Everyone is in a startled mess, now, on the major business news stations.

However, I would bet handily on the roll of Google every time the dice came around the company's way. Who else has been so effective at implementing a tool to coincide with a vision to build the largest volume application online. That's right. No one. I wish I could be in negotiations with the short-sellers of the world, today. I would set up an 18 month conference call schedule and giggle away about Google making me a very fortunate man.

[mchastek]

This is actually a very interesting topic.

In your opinion, it sounds like you still think Google has a long way to go (up)?

The company is worth $108 B. They do ONE thing right - search. However, I saw them desperately scrambling to roll out new features (Google Maps, Google Earth, Gmail, etc etc) and it seemed like they knew the pressure was on, BIG TIME.

Tides change.

What do you think?

-Mark

[dramonte]

Truly Mark;

Tides do change, and in the event that Google cannot control the tides of change in the industry it has dominated, then it will be the same as every other dynasty. No fortune endures unto every generation.

However, my position that the company will respond in classic triumph is perpetuated by the superb stability the leading executives there founded there identity upon. Though Google is recognized for its excellence in SEARCH, the World Wide Web is still evolving at such a pace that the next new thing they release from Google may just reduplicate the SEARCH success they have ridden upon thus far.

I read in the February issue of Business 2.0 that both Google CEO's have the specific duty of developing emerging technologies for the company to pursue after and beyond SEARCH. Some of what they are working on is like personal World Wide Webs. Imagine the strength of your personal computer algorithmicized (check out that term...) into a galaxy of all you need in applications and information and such. There is certainly more to the great Google than meets the eye. I wouldn't blink at dropping big on their stock in the midst of this decline.

On another note, do you subscribe to any trade publications that have great insights on emerging technologies I should know about? Have you visited my site at www.AutoBuyerConsultants.net to check out what I envision as the platform for greatest retail automotive success in the future?

Please, share your insights and wisdom with me. I greatly appreciate your valuable dialogue.

(P.S. When will a spell check be added to this forum application. I was taught that spelling is one attribute a leading professional can ill-afford to abuse, and I always find myself paranoid about misspelled words when I get ready to submit these threads to the forum.)

[mchastek]

I agree with you that Google will have to expand beyond search to stay on top of the Internet game. They have brilliant employees (some of which are acquaintances of mine), and thus no shortage of great human capital. I always get worried when companies grow too quickly, but Google seems to have kept up with itself. They are able to move quickly and react to changes in the industry, and if they are to remain competitive, I believe that will be why.

As for the value of their stock, who knows. I think that being worth $100B+ is pretty hard to swallow. Bigger than Time Warner, Verizon, etc. Cisco was worth over $500B at one time, if I remember correctly.

As far as emerging technologies - I try to keep a finger on the academic world. Afterall, that's where the research for technologies for companies such as Google's came about. There is a lot to weed through, but some great stuff comes out of academia every once in a while.

And I'll do my best to get a spell checker installed. Thanks for the suggestion!

-Mark

[UpBus.com]

Google's weakness is search. Why? Because it is their primary product and you can only monetize the product so many ways. (btw, search monetization is still an evolving game and there are many very good players and MUCH money to be made. in terms of gross dollars we are probably just beginning to scratch the surface of searching for dollars).

Their product launches to date have been just ok and that's fine as long as it's your playground but when you have stockholders with expectations sometimes it's not fun anymore and you just want to take your ball and go home.

I think the "announcement" a few days ago was just a way to ease the pressure. I believe they need to focus on three areas:

1) Traffic. Traffic is money and there are other portals who generate it now..Google needs it.

2) Get their products out of beta. This company spends more time in beta than Microsoft.

3) Launch Google Web. - This may be the killer app. Do some searching and read up on this if you haven't already.

[dramonte]

Indeed Google spends eons, it seems, testing new products. Their beta applications, though, are very innovative in almost every instance. And, the most interesting thing about what Google has in beta is that none of it comes from the executives.

The employees are outlined a time budget to be spent between new applications, developing current apps and one other thing (I think R&D - I would need to pull the article). Schmidt and crew are busy running the show while Fergi and his cohort have the specific duty of catching the next big fish out of the web ocean.

We are witnessing the definition of an error by way of Google, and though the Aquarian Era has passed just recently, our ability to know has never been as keen as now.

Furthermore, Larry, I noticed your company looking for Regional Sales reps and sent you my info. I find it ironic that you have responded to the thread in the same day. I like what UpBus.com does for market saturation. The number of dealers who have no inkling of how to research their market, spend their marketing dollar, or measure the return on investment is ridiculous. Take a look at my approach to the future of retail automotive. You have the links and other info in your email.

[mchastek]

You are correct - and as I mentioned previously, Google is VERY innovative.

From what I have been told, their employees are instructed to spend 20% of their time coming up with new ideas. They can spend 1.5 hours a day, or they can spend one full day a week, it does not matter.. as long as it equates to 20%. This time spent innovating has resulted in Google News, Froogle, and I'm sure all of their other products as well.

The real trick is making money. As of now, search is their primary business. All of the other features are nice, but again they all rely heavily on search. In a perfect world, profit is all that should be driving their stock price. We're not in a perfect world, and so there is plenty of emotion, expectation, and "greater fool" mixed into the valuation of their stock.

Finally - it's absolutely fantastic that you've contacted Larry. The primary reason this forum was set up was for networking among professionals in the automotive industry. I'm glad it's serving that purpose.