Google had a big 2015: It split up its business into teams like Sidewalk, Calico, X, Fiber, and consolidated all those companies under a brand named Alphabet. Now Alphabet is very, very close to being named the world’s most valuable company, yes, more valuable than Apple.
The suite of companies that now form Google’s overarching powerbrand has been doing very well, and was valued today at over $500 billion (£350 billion), nearly closing the gap with its Silicon Valley rival Apple. Meanwhile, Apple has not been doing as well. Humans simply are not buying phones like they used to, which Apple, since the company relies on for more than half of its revenue.
Meanwhile, what does Alphabet have going for it? Well, Google (and I meant the original Google) is still the king of advertising, of course, even when it masquerades as an “urban think tank,” and Alphabet’s offerings are heralding a new age of autonomous vehicles, secret robots, and scary-fast internet. 2016 will be another great year for Alphabet. It might not be that good for Apple at all.
Larry Page is not a typical chief executive, and in many of the most visible ways, he is not a C.E.O. at all. Corporate leaders tend to spend a good deal of time talking at investor conferences or introducing new products on auditorium stages. Mr. Page, who is 42, has not been on an earnings call since 2013, and the best way to find him at Google I/O, an annual gathering where the company unveils new products, is to ignore the main stage and follow the scrum of fans and autograph seekers who mob him in the moments he steps outside closed doors.
Also, the $1 billion Google gave to Apple to stay the default search on iphones was a very smart investment.
Take a look at these charts: http://www.wolframalpha.com/input/?i=apple+vs+alphabet+market+cap