E Under The Spotlight: Alphabet And Pepsi

Alphabet (GOOGL, GOOG) is a collection of businesses — the largest of which is Google — which represents two segments: Google Services and Google Cloud. All non-Google businesses collectively are known as Other Bets. The Other Bets include earlier stage technologies managed with the discipline and rigor needed to deliver long-term returns.

Google sign

Global Brand

The very first web page was created in 1990 and by late 1992, there were a mere 26 websites in the world. However, just a few years later, web pages numbered in the tens of millions and searching for information became challenging. To address that challenge, Stanford University graduate students, Larry Page and Sergey Brin, built a search engine from their dorm room that used links to determine the importance of individual web pages. By 1998, they formalized their work and named their search engine Google, a play on the word, googol, which is the mathematical expression for a 1 followed by 100 zeroes. The name reflects the immense volume of information that exists and Google’s mission to organize the world’s information and make it universally accessible and useful.

Google’s strong global brand is one of the most recognized in the world as millions of people use Google’s services every day. Search results are no longer just web pages. They include images, videos, books, maps and more. In 2006, Google acquired YouTube, which lets billions of people watch and share original videos and professional content. With searches increasingly coming from mobile devices such as smartphones, Google developed Android, a mobile operating system that allows open interoperation across carriers. To enable faster searches, Google launched a web browser called Google Chrome which makes it easier for folks to use their favorite Google products like Google Maps, Gmail, Google Photos, Google Play, Google Docs and Google Translate. Google's core products such as Search, Android, Maps, Chrome, YouTube, Google Play and Gmail each have over one billion monthly active users. In August 2015, Google created a new public holding company called Alphabet. Alphabet is a collection of businesses, the largest of which is Google. Google consists of the previously described Google Services and Google Cloud. Google was a company built in the cloud and the company continues to invest in infrastructure, security, data management, analytics and artificial intelligence. Alphabet also includes businesses known as the Other Bets which are currently unprofitable but making important strides in their various industries such as driverless cars, healthcare and other innovative ventures.

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