Imagining the Google Future
Top experts help us plot four scenarios that show where the company's geniuses may be leading it -- and, perhaps, all of us.
" SAN FRANCISCO (BUSINESS 2.0 MAGAZINE) - We all know that the company Sergey Brin and Larry Page founded a mere eight years ago is one of the new century's most cunning enterprises. If there were any lingering doubts, 2005 erased them. Google's sales jumped an estimated 50 percent to $6 billion, its profits tripled to a projected $1.6 billion, and Wall Street answered with an unprecedented vote of confidence: a $120 billion market cap, a share price soaring above $400, and a price/earnings ratio close to 70.
That's a huge bet on future growth that seems unthinkable during the postbubble period. But in Google (Research)'s case, the exuberance is rational. That's because Brin, Page, and CEO Eric Schmidt cornered online advertising: They've made it precision-targeted and dirt cheap. U.S. companies still devote more ad dollars to the Yellow Pages than to the Internet (which accounts for less than 5 percent of overall ad spending). Yet Americans now spend more than 30 percent of their media-consuming time surfing the Web. When the ad dollars catch up to the trend, a mountain of cash awaits, and Google is positioned like no one else to scoop it up ..."
http://money.cnn.com/2006/01/24/technology/dumbest_googleintro/index.htm
" SAN FRANCISCO (BUSINESS 2.0 MAGAZINE) - We all know that the company Sergey Brin and Larry Page founded a mere eight years ago is one of the new century's most cunning enterprises. If there were any lingering doubts, 2005 erased them. Google's sales jumped an estimated 50 percent to $6 billion, its profits tripled to a projected $1.6 billion, and Wall Street answered with an unprecedented vote of confidence: a $120 billion market cap, a share price soaring above $400, and a price/earnings ratio close to 70.
That's a huge bet on future growth that seems unthinkable during the postbubble period. But in Google (Research)'s case, the exuberance is rational. That's because Brin, Page, and CEO Eric Schmidt cornered online advertising: They've made it precision-targeted and dirt cheap. U.S. companies still devote more ad dollars to the Yellow Pages than to the Internet (which accounts for less than 5 percent of overall ad spending). Yet Americans now spend more than 30 percent of their media-consuming time surfing the Web. When the ad dollars catch up to the trend, a mountain of cash awaits, and Google is positioned like no one else to scoop it up ..."
http://money.cnn.com/2006/01/24/technology/dumbest_googleintro/index.htm
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