Google give up the motto “Do not Be Evil” and replaces it with “Do The Right Thing” (To do the right thing) shows the new code of Ethics, launched with the announced organizational historical changes in August and implemented now, at the beginning of October. Google will be called Alphabet and will operate as a holding company consisting of several divisions with increased independence. The change will be visible for shareholders, not for search engine users.
Google announced a historic change of organizational structure and will operate as Berkshire Hathaway and General Electric, with a central control unit tasked with activities at the corporate and financial and several business divisions very different, with a greater degree of independence.
For the average user, the changes will not be large. Search Engine will be called as same, all phones and all tablets will be called Nexus, and YouTube remain Youtube. Only the stock can see a difference, Google shares were converted into shares Alphabet. For the NASDAQ, Class A shares of Alphabet Inc. is traded under the symbol GOOGL and the class C under the sign GOOG.
Alphabet contains newly created division of Google (which includes basic activities (Search, Advertising, Maps, YouTube and Android) and the remaining activities are separate in divisions(Google Ventures, Google Capital, Google X, and Calico Life Sciences).
But the change will help Google work better and will help investors learn more about financial information of Google business . Then, each business is promised greater independence and funding with condition to be promising. By creating these divisions, Google shows that seriously wants to give a chance to these ancillary projects, but will also be easier to quit, if they prove too little viable.
What are the divisions holding Alphabet
Google – remains basic and include activities that brought the company success (Search, Advertising, Maps, YouTube and Android)
Google X – is a secret division of the most interesting projects such as autonomous vehicles or drones delivery.
Nest Labs – the division that handles the internet of things, the house where all the devices are online and communicate with each other.
Fiber – launched high-speed Internet services in the US.
Google Ventures and Google Capital – funds that invest in various businesses promising.
Calico – research division trying to find ways to combat aging and the diseases associated with it. The name is an abbreviation for California Life Company.