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Google

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This article is about the company. For the search engine, see Google Search. For other uses, see Google (disambiguation).
"Google Inc." redirects here. For the parent company, see Alphabet Inc.
Not to be confused with Goggle or Googol.
Google Inc.
Division of Alphabet Inc.
Industry
Founded September 4, 1998; 17 years ago (1998-09-04)
Menlo Park, California[1][2]
Founders
Headquarters Googleplex, Mountain View, California, U.S.[3]
Coordinates 37°25′19″N 122°05′03″W / 37.422°N 122.084058°W / 37.422; -122.084058Coordinates: 37°25′19″N 122°05′03″W / 37.422°N 122.084058°W / 37.422; -122.084058
Area served
 Worldwide
Key people
 Sundar Pichai (CEO)
Products List of Google products
Number of employees
 57,100 (Q2 2015)[4]
Parent Independent (1998–2015)
Alphabet Inc. (2015–present)
Subsidiaries List of subsidiaries
Slogan Don't be evil[5]
Website www.google.com
Footnotes / references
[6]

Google is an American multinational technology company specializing in Internet-related services and products. These include online advertising technologies, search, cloud computing, and software.[7] Most of its profits are derived from AdWords,[8][9] an online advertising service that places advertising near the list of search results.

Google was founded by Larry Page and Sergey Brin while they were Ph.D. students at Stanford University. Together, they own about 14 percent of its shares and control 56 percent of the stockholder voting power through supervoting stock. They incorporated Google as a privately held company on September 4, 1998. An initial public offering followed on August 19, 2004. Its mission statement from the outset was "to organize the world's information and make it universally accessible and useful,"[10] and its unofficial slogan was "Don't be evil".[11][12] In 2004, Google moved to its new headquarters in Mountain View, California, nicknamed the Googleplex.[13] In August 2015, Google announced plans to reorganize its interests as a holding company called Alphabet Inc. When this restructuring took place on October 2, 2015, Google became Alphabet's leading subsidiary, as well as the parent for Google's Internet interests.[14][15][16][17][18]

Rapid growth since incorporation has triggered a chain of products, acquisitions and partnerships beyond Google's core search engine (Google Search). It offers online productivity software (Google Docs) including email (Gmail), a cloud storage service (Google Drive) and a social networking service (Google+). Desktop products include applications for web browsing (Google Chrome), organizing and editing photos (Google Photos), and instant messaging and video chat (Hangouts). The company leads the development of the Android mobile operating system and the browser-only Chrome OS[19] for a class of netbooks known as Chromebooks and desktop PCs known as Chromeboxes. Google has moved increasingly into communications hardware, partnering with major electronics manufacturers[20] in the production of its "high-quality low-cost"[21] Nexus devices.[22] In 2012, a fiber-optic infrastructure was installed in Kansas City to facilitate a Google Fiber broadband service.[23]

The corporation has been estimated to run more than one million servers in data centers around the world (as of 2007).[24] It processes over one billion search requests[25] and about 24 petabytes of user-generated data each day (as of 2009).[26][27][28][29] In December 2013, Alexa listed google.com as the most visited website in the world. Numerous Google sites in other languages figure in the top one hundred, as do several other Google-owned sites such as YouTube and Blogger.[30] Its market dominance has led to prominent media coverage, including criticism of the company over issues such as aggressive tax avoidance,[31] search neutrality, copyright, censorship, and privacy.[32][33]

History

Main article: History of Google
Google's homepage in 1998
Google's original homepage had a simple design because the company founders were not experienced in HTML, the markup language used for designing web pages.[34]

Google began in January 1996 as a research project by Larry Page and Sergey Brin when they were both PhD students at Stanford University in Stanford, California.[35]

While conventional search engines ranked results by counting how many times the search terms appeared on the page, the two theorized about a better system that analyzed the relationships between websites.[36] They called this new technology PageRank; it determined a website's relevance by the number of pages, and the importance of those pages, that linked back to the original site.[37][38]

Page and Brin originally nicknamed their new search engine "BackRub", because the system checked backlinks to estimate the importance of a site.[39][40][41] Eventually, they changed the name to Google, originating from a misspelling of the word "googol",[42][43] the number one followed by one hundred zeros, which was picked to signify that the search engine was intended to provide large quantities of information.[44] Originally, Google ran under Stanford University's website, with the domains google.stanford.edu and z.stanford.edu.[45][46]

The domain name for Google was registered on September 15, 1997,[47] and the company was incorporated on September 4, 1998. It was based in the garage of a friend (Susan Wojcicki[35]) in Menlo Park, California. Craig Silverstein, a fellow PhD student at Stanford, was hired as the first employee.[35][48][49]

In May 2011, the number of monthly unique visitors to Google surpassed one billion for the first time, an 8.4 percent increase from May 2010 (931 million).[50] In January 2013, Google announced it had earned US$50 billion in annual revenue for the year of 2012. This marked the first time the company had reached this feat, topping their 2011 total of $38 billion.[51]

The company has reported fourth quarter (Dec 2014) Earnings Per Share (EPS) of $6.88 – $0.20 under projections. Revenue came in at $14.5 billion (16.9% growth year over year), also under expectations by $110 million.[52]

Financing, 1998 and initial public offering, 2004

Google's first servers, showing lots of exposed wiring and circuit boards
Google's first production server. Google's production servers continue to be built with inexpensive hardware.[53]

The first funding for Google was an August 1998 contribution of $100,000 from Andy Bechtolsheim, co-founder of Sun Microsystems, given before Google was incorporated.[54] Early in 1999, while graduate students, Brin and Page decided that the search engine they had developed was taking up too much time and distracting their academic pursuits. They went to Excite CEO George Bell and offered to sell it to him for $1 million. He rejected the offer and later criticized Vinod Khosla, one of Excite's venture capitalists, after he negotiated Brin and Page down to $750,000. On June 7, 1999, a $25 million round of funding was announced,[55] with major investors including the venture capital firms Kleiner Perkins Caufield & Byers and Sequoia Capital.[54]

Google's initial public offering (IPO) took place five years later on August 19, 2004. At that time Larry Page, Sergey Brin, and Eric Schmidt agreed to work together at Google for 20 years, until the year 2024.[56] The company offered 19,605,052 shares at a price of $85 per share.[57][58] Shares were sold in an online auction format using a system built by Morgan Stanley and Credit Suisse, underwriters for the deal.[59][60] The sale of $1.67 bn (billion) gave Google a market capitalization of more than $23bn.[61] By January 2014, its market capitalization had grown to $397bn.[62] The vast majority of the 271 million shares remained under the control of Google, and many Google employees became instant paper millionaires. Yahoo!, a competitor of Google, also benefited because it owned 8.4 million shares of Google before the IPO took place.[63]

There were concerns that Google's IPO would lead to changes in company culture. Reasons ranged from shareholder pressure for employee benefit reductions to the fact that many company executives would become instant paper millionaires.[64] As a reply to this concern, co-founders Sergey Brin and Larry Page promised in a report to potential investors that the IPO would not change the company's culture.[65] In 2005, articles in The New York Times and other sources began suggesting that Google had lost its anti-corporate, no evil philosophy.[66][67][68][69][excessive citation] In an effort to maintain the company's unique culture, Google designated a Chief Culture Officer, who also serves as the Director of Human Resources. The purpose of the Chief Culture Officer is to develop and maintain the culture and work on ways to keep true to the core values that the company was founded on: a flat organization with a collaborative environment.[70] Google has also faced allegations of sexism and ageism from former employees.[71][72] In 2013, a class action against several Silicon Valley companies, including Google, was filed for alleged "no cold call" agreements which restrained the recruitment of high-tech employees.[73]

The stock performed well after the IPO, with shares hitting $350 for the first time on October 31, 2007,[74] primarily because of strong sales and earnings in the online advertising market.[75] The surge in stock price was fueled mainly by individual investors, as opposed to large institutional investors and mutual funds.[75] GOOG shares split into GOOG Class C shares and GOOGL class A shares.[76] The company is listed on the NASDAQ stock exchange under the ticker symbols GOOGL and GOOG, and on the Frankfurt Stock Exchange under the ticker symbol GGQ1. These ticker symbols now refer to Alphabet Inc., Google's holding company, since the fourth quarter of 2015.[77]

Growth

In March 1999, the company moved its offices to Palo Alto, California, which is home to several prominent Silicon Valley technology start-ups.[78] The next year, against Page and Brin's initial opposition toward an advertising-funded search engine,[79] Google began selling advertisements associated with search keywords.[35] In order to maintain an uncluttered page design and increase speed, advertisements were solely text-based. Keywords were sold based on a combination of price bids and click-throughs, with bidding starting at five cents per click.[35]

This model of selling keyword advertising was first pioneered by Goto.com, an Idealab spin-off created by Bill Gross.[80][81] When the company changed names to Overture Services, it sued Google over alleged infringements of the company's pay-per-click and bidding patents. Overture Services would later be bought by Yahoo! and renamed Yahoo! Search Marketing. The case was then settled out of court; Google agreed to issue shares of common stock to Yahoo! in exchange for a perpetual license.[82]

In 2001, Google received a patent for its PageRank mechanism.[83] The patent was officially assigned to Stanford University and lists Lawrence Page as the inventor. In 2003, after outgrowing two other locations, the company leased an office complex from Silicon Graphics at 1600 Amphitheatre Parkway in Mountain View, California.[84] The complex became known as the Googleplex, a play on the word googolplex, the number one followed by a googol zeroes. The Googleplex interiors were designed by Clive Wilkinson Architects. Three years later, Google bought the property from SGI for $319 million.[85] By that time, the name "Google" had found its way into everyday language, causing the verb "google" to be added to the Merriam-Webster Collegiate Dictionary and the Oxford English Dictionary, denoted as "to use the Google search engine to obtain information on the Internet".[86][87]

The immense popularity of the search engine has led its fans calling themselves 'Googlists' as they follow 'Googlism', the new religion.[88] Devotees of Google have found a non-profit online organization The Church of Google, a website where they worship the search engine giant.[89] The New York Times had discussed the topic "Is Google God?" under its 'opinion' category.[90]

Screenshot of the Google homepage in 2015

2013 onward

Google announced the launch of a new company called Calico on September 19, 2013, which will be led by Apple chairman Arthur Levinson. In the official public statement, Page explained that the "health and well-being" company will focus on "the challenge of ageing and associated diseases".[91]

As of September 2013, Google operates 70 offices in more than 40 countries.[92] Google celebrated its 15-year anniversary on September 27, 2013, although it has used other dates for its official birthday.[93] The reason for the choice of September 27 remains unclear, and a dispute with rival search engine Yahoo! Search in 2005 has been suggested as the cause.[94][95]

The Alliance for Affordable Internet (A4AI) was launched in October 2013 and Google is part of the coalition of public and private organisations that also includes Facebook, Intel and Microsoft. Led by Sir Tim Berners-Lee, the A4AI seeks to make Internet access more affordable so that access is broadened in the developing world, where only 31% of people are online. Google will help to decrease Internet access prices so that they fall below the UN Broadband Commission's worldwide target of 5% of monthly income.[96]

The corporation's consolidated revenue for the third quarter of 2013 is reported in mid-October 2013 as $14.89 billion, a 12 percent increase compared to the previous quarter. Google's Internet business was responsible for $10.8 billion of this total, with an increase in the number of users' clicks on advertisements.[97]

In November 2013, Google announced plans for a new 1-million-sq-ft (93,000 sq m) office in London, which is due to open in 2016. The new premises will be able to accommodate 4,500 employees and has been identified as one of the biggest ever commercial property acquisitions in Britain.[98]

In October 2014, according to the Interbrand ranking, Google was the second most valuable brand in the world (behind Apple) with a valuation of $107.4 billion.[99] A Millward Brown report from the same year puts the Google brand ahead of Apple's at #1.[100]

Acquisitions and partnerships

See also: List of mergers and acquisitions by Google

Google went through three major periods of acquisitions, spanning 2000–2009, 2010–2012, and 2014–2015.

Larry Page and Sergey Brin in 2003

2000–2009

Since 2001, Google has acquired many companies, primarily small venture capital-funded firms. In 2004, Google acquired Keyhole, Inc.[101] The start-up company developed a product called Earth Viewer that gave a three-dimensional view of the Earth. Google renamed the service to Google Earth in 2005. Google acquired Urchin Software in April 2005, using their 'Urchin on Demand' product (along with ideas from Adaptive Path's 'Measure Map') to create Google Analytics in 2006.

In October 2006, Google announced that it had acquired the video-sharing site YouTube for $1.65 billion in Google stock, and the deal was finalized on November 13, 2006.[102] Google does not provide detailed figures for YouTube's running costs, and YouTube's revenues in 2007 were noted as "not material" in a regulatory filing.[103] In June 2008, a Forbes magazine article projected the 2008 YouTube revenue at $200 million, noting progress in advertising sales.[104]

On April 13, 2007, Google reached an agreement to acquire DoubleClick for $3.1 billion, giving Google valuable relationships that DoubleClick had with Web publishers and advertising agencies.[105] Later that same year, Google purchased GrandCentral for $50 million.[106] The site would later be changed over to Google Voice. On August 5, 2009, Google bought out its first public company, purchasing video software maker On2 Technologies for $106.5 million.[107] Google also acquired Aardvark, a social network search engine, for $50 million, and commented on its internal blog, "we're looking forward to collaborating to see where we can take it".[108] In April 2010, Google announced it had acquired a hardware startup, Agnilux.[109]

In addition to the many companies Google has purchased, the company has partnered with other organizations for research, advertising, and other activities. In 2005, Google partnered with NASA Ames Research Center to build 1,000,000 square feet (93,000 m2) of offices.[110] The offices would be used for research projects involving large-scale data management, nanotechnology, distributed computing, and the entrepreneurial space industry. Google entered into a partnership with Sun Microsystems in October 2005 to help share and distribute each other's technologies.[111]

The company also partnered with AOL[112] to enhance each other's video search services. Google's 2005 partnerships also included financing the new .mobi top-level domain for mobile devices, along with other companies including Microsoft, Nokia, and Ericsson.[113] Google would later launch "AdSense for Mobile", taking advantage of the emerging mobile advertising market.[114] Increasing its advertising reach even further, Google and Fox Interactive Media of News Corporation entered into a $900 million agreement to provide search and advertising on the then-popular social networking site MySpace.[115]

In 2007, Google began sponsoring NORAD Tracks Santa, displacing former sponsor AOL. NORAD Tracks Santa purports to follow Santa Claus' progress on Christmas Eve,[116] using Google Earth to "track Santa" in 3-D for the first time.[117] Google-owned YouTube gave NORAD Tracks Santa its own channel.[118]

In 2008, Google developed a partnership with GeoEye to launch a satellite providing Google with high-resolution (0.41 m monochrome, 1.65 m color) imagery for Google Earth. The satellite was launched from Vandenberg Air Force Base on September 6, 2008.[119] Google also announced in 2008 that it was hosting an archive of Life Magazine's photographs. Some images in the archive were never published in the magazine.[120] The photos were watermarked and originally had copyright notices posted on all photos, regardless of public domain status.[121]

2010–2012

In 2010, Google Energy made its first investment in a renewable energy project, putting $38.8 million into two wind farms in North Dakota. The company announced the two locations will generate 169.5 megawatts of power, enough to supply 55,000 homes. The farms, which were developed by NextEra Energy Resources, will reduce fossil fuel use in the region and return profits. NextEra Energy Resources sold Google a twenty-percent stake in the project to get funding for its development.[122] In February 2010, the Federal Energy Regulatory Commission FERC granted Google an authorization to buy and sell energy at market rates.[123] The order specifically states that Google Energy—a subsidiary of Google—holds the rights "for the sale of energy, capacity, and ancillary services at market-based rates", but acknowledges that neither Google Energy nor its affiliates "own or control any generation or transmission" facilities.[124] The corporation exercised this authorization in September 2013 when it announced that it will purchase all the electricity produced by the not-yet-built 240-megawatt Happy Hereford wind farm.[125]

Also in 2010, Google purchased Global IP Solutions, a Norway-based company that provides web-based teleconferencing and other related services. This acquisition enabled Google to add telephone-style services to its list of products.[126] On May 27, 2010, Google announced it had also closed the acquisition of the mobile ad network AdMob. This occurred days after the Federal Trade Commission closed its investigation into the purchase.[127] Google acquired the company for an undisclosed amount.[128] In July 2010, Google signed an agreement with an Iowa wind farm to buy 114 megawatts of energy for 20 years.[129]

On April 4, 2011, The Globe and Mail reported that Google bid $900 million for six thousand Nortel Networks patents.[130]

On August 15, 2011, Google made its largest-ever acquisition to-date when it announced that it would acquire Motorola Mobility for $12.5 billion[131][132] subject to approval from regulators in the United States and Europe. In a post on Google's blog, Google Chief Executive and co-founder Larry Page revealed that the acquisition was a strategic move to strengthen Google's patent portfolio. The company's Android operating system has come under fire in an industry-wide patent battle, as Apple and Microsoft have sued Android device makers such as HTC, Samsung, and Motorola.[133] The merger was completed on May 22, 2012, after the approval of People's Republic of China.[134]

This purchase was made in part to help Google gain Motorola's considerable patent portfolio on mobile phones and wireless technologies to help protect it in its ongoing patent disputes with other companies,[135] mainly Apple and Microsoft,[133] and to allow it to continue to freely offer Android.[136] After the acquisition closed, Google began to restructure the Motorola business to fit Google's strategy. On August 13, 2012, Google announced plans to lay off 4000 Motorola Mobility employees.[137] On December 10, 2012, Google sold the manufacturing operations of Motorola Mobility to Flextronics for $75 million.[138] As a part of the agreement, Flextronics will manufacture undisclosed Android and other mobile devices.[139] On December 19, 2012, Google sold the Motorola Home business division of Motorola Mobility to Arris Group for $2.35 billion in a cash-and-stock transaction. As a part of this deal, Google acquired a 15.7% stake in Arris Group valued at $300 million.[140]

On June 5, 2012, Google announced it acquired Quickoffice, a company widely known for their mobile productivity suite for both iOS and Android. Google plans to integrate Quickoffice's technology into its own product suite.[141]

On February 6, 2013, Google announced it had acquired Channel Intelligence for $125 million. Channel Intelligence, a technology company that helps customers buy products online, is active globally in 31 different countries and works with over 850 retailers. Google will use this technology to enhance its e-commerce business.[142]

The official confirmation of Google's acquisition of the Israel-based startup Waze occurred in June 2013. Waze is promoted as a "community-based traffic and navigation app".[143]

Following the acquisition of Waze, Google submitted a "10-Q" filing with the Securities Exchange Commission (SEC) that revealed that the corporation spent $1.3 billion on acquisitions during the first half of 2013. The filing also revealed that the Waze acquisition cost Google $966 million, instead of the $1.1 billion figure that was initially presented in media sources.[143][144][145]

The 2012 acquisition of WIMM Labs, a company that previously made an Android-powered smartwatch, was confirmed in August 2013. As of August 31, 2013, Google has not publicly commented on the news concerning WIMM Labs.[146] The acquisition of Flutter, a creator of hand gesture recognition technology, was confirmed by the corporation in early October 2013. The reported price is $40 million and Google spokesperson stated: "We're really impressed by the Flutter team's ability to design new technology based on cutting-edge research." Flutter's technology allows users to enact hand gestures to control navigation for apps such as iTunes, Windows Media Player, and Winamp.[147]

2014–2015

On January 26, 2014, Google Inc. announced it had agreed to acquire DeepMind Technologies, a privately held artificial intelligence company from London. DeepMind describes itself as having the ability to combine the best techniques from machine learning and systems neuroscience to build general-purpose learning algorithms. DeepMind's first commercial applications were used in simulations, e-commerce and games. As of December 2013, it was reported that DeepMind had roughly 75 employees.[148] The technology news website Re/code reported that the company was purchased for $400 million though it was not disclosed where the information came from. A Google spokesman would not comment of the price.[149][150] The purchase of DeepMind aids in Google's recent growth in the artificial intelligence and robotics community.[151]

On January 29, 2014, Google announced it was selling its Motorola Mobility unit to China-based Lenovo, for $2.91bn. The company kept the extensive patent collection used to develop Android products, considered the most valuable part of the original deal.[152] Nonetheless, the sale price was significantly less than the $12.5 billion Google had bought Motorola Mobility for. The $2.91bn price tag consisted of $660 million in cash, $750 million in Lenovo ordinary shares, and a $1.5 billion 3-year promissory note.[153]

In March 2014, Google confirmed it had purchased the remnants of gaming startup, Green Throttle Games, which developed a Bluetooth gaming controller for Android.[154]

In May 2014, Google announced it had purchased Quest Visual, maker of the augmented reality translator app Word Lens.[155]

In June 2014, Google purchased satellite imaging firm Skybox Imaging for $500 million.[156]

In July 2014, Google purchased the online music service Songza.[157]

On September 10, 2015, Google announced to form strategic partnership with Mobvoi to bring Android Wear to mainland China.[158]

In October 2015, Google invested in a China-based artificial intelligence (AI) company, Mobvoi. The funding will enable the Company to further enhance its core AI technologies, and develop new consumer products empowered by AI.[159]

Google data centers

As of 2014, Google Inc. owned and operated six Google Data Centers across the U.S., one in Chile, one in Finland, one in Ireland, one in Belgium, one in Singapore and one on Taiwan.[160] In 2011, the company had announced plans to build three data centers at a cost of more than $200 million in Asia (Singapore, Hong Kong and Taiwan) and said they would be operational within two years.[161][162] In December 2013, Google announced that it had scrapped the plan to build a data center in Hong Kong.[163]

In October 2013, The Washington Post reported that the U.S. National Security Agency intercepted communications between Google's data centers, as part of a program named MUSCULAR.[164][165] This wiretapping was made possible because Google did not encrypt data passed inside its own network.[166] Google began encrypting data sent between data centers in 2013.[167]

Google’s most efficient data center runs at 95 °F (35 °C) using only fresh air cooling, requiring no electrically powered air conditioning; the servers run so hot that humans cannot go near them for extended periods.[168]

Alphabet

On August 10, 2015, Google announced plans to reorganize its various interests as a holding company, Alphabet Inc., with Google as its leading subsidiary. Google will continue to be the umbrella company for Alphabet's Internet interests. Upon completion of the restructure, Sundar Pichai became CEO of Google.[169][170]

Products and services

See also: List of Google products

Advertising

Google on ad-tech London, 2010

For the 2006 fiscal year, the company reported $10.492 billion in total advertising revenues and only $112 million in licensing and other revenues.[171] In 2011, 96% of Google's revenue was derived from its advertising programs.[172] In addition to its own algorithms for understanding search requests, Google uses technology from the company DoubleClick, to project user interest and target advertising to the search context and the user history.[173][174]

Google Analytics allows website owners to track where and how people use their website, for example by examining click rates for all the links on a page.[175] Google advertisements can be placed on third-party websites in a two-part program. Google's AdWords allows advertisers to display their advertisements in the Google content network, through either a cost-per-click or cost-per-view scheme. The sister service, Google AdSense, allows website owners to display these advertisements on their website and earn money every time ads are clicked.[176]

One of the criticisms of this program is the possibility of click fraud, which occurs when a person or automated script clicks on advertisements without being interested in the product, causing the advertiser to pay money to Google unduly. Industry reports in 2006 claimed that approximately 14 to 20 percent of clicks were fraudulent or invalid.[177]

In February 2003, Google stopped showing the advertisements of Oceana, a non-profit organization protesting a major cruise ship's sewage treatment practices. Google cited its editorial policy at the time, stating "Google does not accept advertising if the ad or site advocates against other individuals, groups, or organizations."[178] The policy was later changed.[179] In June 2008, Google reached an advertising agreement with Yahoo!, which would have allowed Yahoo! to feature Google advertisements on its web pages. The alliance between the two companies was never completely realized because of antitrust concerns by the U.S. Department of Justice. As a result, Google pulled out of the deal in November 2008.[180][181]

In an attempt to advertise its own products, Google launched a website called Demo Slam, developed to demonstrate technology demos of Google Products.[182]

Search engine

Main article: Google Search
Google Search homepage as of September 1, 2015

According to market research published by comScore in November 2009, Google Search is the dominant search engine in the United States market, with a market share of 65.6%.[183] Google indexes billions[184] of web pages, so that users can search for the information they desire through the use of keywords and operators.

In 2003, The New York Times complained about Google's indexing, claiming that Google's caching of content on its site infringed its copyright for the content.[185] In this case, the United States District Court of Nevada ruled in favor of Google in Field v. Google and Parker v. Google.[186][187] The publication 2600: The Hacker Quarterly has compiled a list of words that the web giant's new instant search feature will not search.[188]

Google Watch has criticized Google's PageRank algorithms, saying that they discriminate against new websites and favor established sites.[189] The site has also alleged that there are connections between Google and the National Security Agency (NSA) and the Central Intelligence Agency (CIA).[190]

Google also hosts Google Books. The company began scanning books and uploading limited previews, and full books where allowed, into its new book search engine. The Authors Guild, a group that represents 8,000 U.S. authors, filed a class action suit in a New York City federal court against Google in 2005 over this service. Google replied that it is in compliance with all existing and historical applications of copyright laws regarding books.[191] Google eventually reached a revised settlement in 2009 to limit its scans to books from the U.S., the UK, Australia, and Canada.[192] Furthermore, the Paris Civil Court ruled against Google in late 2009, asking it to remove the works of La Martinière (Éditions du Seuil) from its database.[193] In competition with Amazon.com, Google sells digital versions of new books.[194]

On July 21, 2010, in response to Bing, Google updated its image search to display a streaming sequence of thumbnails that enlarge when pointed at. Though web searches still appear in a batch per page format, on July 23, 2010, dictionary definitions for certain English words began appearing above the linked results for web searches.[195]

The "Hummingbird" update to the Google search engine was announced in September 2013. The update was introduced over the month prior to the announcement and allows users ask the search engine a question in natural language rather than entering keywords into the search box.[196]

Productivity tools

Gmail, a free webmail service provided by Google, was launched as an invitation-only beta program on April 1, 2004,[197] and became available to the public on February 7, 2007.[198] The service was upgraded from beta status on July 7, 2009,[199] at which time it had 146 million users monthly.[200] The service was the first online email service with one gigabyte of storage. It was also the first to keep emails from the same conversation together in one thread, similar to an Internet forum.[197] The service offers over 15 GB of free storage, shared with other Google Apps, with additional storage ranging from 20 GB to 16 TB available for $0.25 per 1 GB per year.[201]

Gmail uses AJAX, a programming technique that allows web pages to be interactive without refreshing the browser.[202] Steve Ballmer (Microsoft's former CEO),[203] Liz Figueroa,[204] Mark Rasch,[205] and the editors of Google Watch[206] have criticised the privacy of Gmail, but Google claims that mail sent to or from Gmail is never read by a human being beyond the account holder and is only used to improve relevance of advertisements.[207]

In 2004, Google started open source software project hosting, called Google Code, which allows developers to download in-development programs at no charge. Google Drive, another part of Google's productivity suite, allows users to create, edit, and collaborate on documents in an online environment, similar to Microsoft Word. The service was originally called Writely, but was obtained by Google on March 9, 2006, and was released as an invitation-only preview.[208] On June 6 after the acquisition, Google created an experimental spreadsheet editing program,[209] which was combined with Google Docs on October 10.[210]

Google for Work is a service from Google that provides customizable enterprise versions of several Google products using a domain name provided by the customer. It features several Web applications with similar functionality to traditional office suites, including Gmail, Hangouts, Google Calendar, Drive, Docs, Sheets, Slides, Groups, News, Play, Sites, and Vault. It was the vision of Rajen Sheth, a Google employee who later developed Chromebooks.[211]

Currently, the company is testing a travel app called "Trips".[212]

Enterprise products

Google's search appliance
Google's search appliance at the 2008 RSA Conference

Google Search Appliance was launched in February 2002, targeted toward providing search technology for larger organizations.[35] Google launched the Mini three years later, which was targeted at smaller organizations. Late in 2006, Google began to sell Custom Search Business Edition, providing customers with an advertising-free window into Google.com's index. The service was renamed Google Site Search in 2008.[213]

Google Apps allows organizations to bring Google's web application offerings, Gmail and Google Docs, into their own domains. The service is available in several editions: a basic free edition (formerly known as Google Apps Standard edition), Google Apps for Business, Google Apps for Education, and Google Apps for Government. In the same year Google Apps was launched, Google acquired Postini[214] and proceeded to integrate the company's security technologies into Google Apps[215] under the name Google Postini Services.[216]

On March 15, 2016, Google announced the introduction of Google Analytics 360 Suite, "a set of integrated data and marketing analytics products, designed specifically for the needs of enterprise-class marketers." Among other things, the suite is designed to help "enterprise class marketers" see the complete customer journey, generate useful insights, not just more data, and deliver engaging experiences to the right people.[217] Some see the suite as competing with existing marketing cloud offerings by companies like Adobe, Oracle, Salesforce and IBM.[218]

Other products

Google Translate is a server-side machine translation service, which can translate between 80 different languages.[219] For some languages, handwriting recognition, or speech recognition can be used as input, and translated text can be pronounced through speech synthesis.[220] The software uses corpus linguistics techniques, where the program "learns" from professionally translated documents, specifically UN and European Parliament proceedings.[221]

Google launched its Google News service in 2002, an automated service which summarizes news articles from various websites.[222] In March 2005, Agence France Presse (AFP) sued Google for copyright infringement in federal court in the District of Columbia, a case which Google settled for an undisclosed amount in a pact that included a license of the full text of AFP articles for use on Google News.[223]

Google currently offers free wi-fi access in its hometown of Mountain View, California.[224]

In 2010, Google announced the Google Fiber project, with plans to build an ultra-high-speed broadband network for 50,000 to 500,000 customers in one or more American cities.[225] On March 30, 2011, Google announced that Kansas City, Kansas would be the first community where the new network would be deployed.[226] In July 2012, Google completed the construction of a fiber-optic broadband Internet network infrastructure in Kansas City, and after building an infrastructure, Google announced pricing for Google Fiber. The service will offer three options including a free broadband Internet option, a 1Gbit/s Internet option for $70 per month, and a version that includes television service for $120 per month.[23]

Lexus RX450h retrofitted by Google for its driverless car fleet.

In 2007, reports surfaced that Google was planning the release of its own mobile phone, possibly a competitor to Apple's iPhone.[227][228][229] The project, called Android, turned out not to be a phone but an operating system for mobile devices, which Google acquired and then released as an open source project under the Apache 2.0 license.[230] Google provides a software development kit for developers so applications can be created to be run on Android-based phones. In September 2008, T-Mobile released the G1, the first Android-based phone.[231] On January 5, 2010, Google released an Android phone under its own company name called the Nexus One.[232] A report in July 2013 stated that Google's share of the global smartphone market, led by Samsung products, was 64% in March 2013.[233]

Other projects Google has worked on include a new collaborative communication service, a web browser, and a mobile operating system. The first of these was first announced on May 27, 2009. The company described Google Wave as a product that helps users communicate and collaborate on the web. The service is Google's "email redesigned", with realtime editing, the ability to embed audio, video, and other media, and extensions that further enhance the communication experience. Google Wave was initially in a developer's preview, where interested users had to be invited to test the service, but was released to the public on May 19, 2010, at Google's I/O keynote. On September 1, 2008, Google pre-announced the upcoming availability of Google Chrome, an open source web browser,[234] which was then released on September 2, 2008. On July 7, 2009, Google announced Google Chrome OS, an open source Linux-based operating system that includes only a web browser and is designed to log users into their Google account.[235][236]

Google Goggles is a mobile application available on Android and iOS used for image recognition and non-text-based search. In addition to scanning QR codes, the app can recognize historic landmarks, import business cards, and solve Sudoku puzzles.[237] While Goggles could originally identify people as well, Google has limited that functionality as a privacy protection.[238]

In 2011, Google announced Google Wallet, a mobile application for wireless payments.[239] In late June 2011, Google soft-launched a social networking service called Google+.[240] On July 14, 2011, Google announced that Google+ had reached 10 million users just two weeks after it was launched in this "limited" trial phase.[241] After four weeks in operation, it reached 25 million users.[242]

A Google Cardboard headset, a cheap and accessible standard for experimenting with virtual reality.

At a launch event on July 24, 2013, in San Francisco, a newer version of the Nexus 7 Google tablet device was released to the public, alongside the Chromecast dongle that allows users to stream YouTube and Netflix videos via smartphones.[243]

In 2013, Google launched Google Shopping Express, a delivery service initially available only in San Francisco and Silicon Valley.[244]

On February 3, 2014, Google released its first Chromecast SDK.[245]

Google Alerts is a content change detection and notification service, offered by the search engine company Google. The service sends emails to the user when it finds new results—such as web pages, newspaper articles, or blogs—that match the user's search term.[246][247][248]

Google Camera is a camera application developed by Google for Android. It is supported on Android 4.4 KitKat and higher versions of Android. It was released on the Google Play Store on April 16, 2014.[249]

Project Fi enables communication across Wi-Fi and cell networks.[250]

In July 2015 Google released DeepDream, an image recognition software capable of creating psychedelic images using a convolutional neural network.[251][252][253][254]

In 2016 Google also developed a product to compete with Amazon's Echo voice assistant known as Google Home.[255][256]

APIs

Google APIs are a set of application programming interfaces (APIs) developed by Google which allow communication with Google Services and their integration to other services. Examples of these include Search, Gmail, Translate or Google Maps. Third-party apps can use these APIs to take advantage of or extend the functionality of the existing services.

Other websites

Google Developers is Google's site for software development tools, APIs, and technical resources. The site contains documentation on using Google developer tools and APIs—including discussion groups and blogs for developers using Google's developer products.

Google Labs was a page created by Google to demonstrate and test new projects.

Google owns the top-level domain 1e100.net which is used for some servers within Google's network. The name is a reference to the scientific E notation representation for 1 googol, 1E100 = 1 × 10100.[257]

Corporate affairs and culture

Eric Schmidt, Sergey Brin, and Larry Page sitting together
Then-CEO, now Chairman of Google Eric Schmidt with cofounders Sergey Brin and Larry Page (left to right) in 2008.
Eric Schmidt

On Fortune magazine's list of the best companies to work for, Google ranked first in 2007, 2008 and 2012[258][259][260] and fourth in 2009 and 2010.[261][262] Google was also nominated in 2010 to be the world's most attractive employer to graduating students in the Universum Communications talent attraction index.[263] Google's corporate philosophy includes principles such as "you can make money without doing evil," "you can be serious without a suit," and "work should be challenging and the challenge should be fun."[264]

Employees

As of 2013, Google had 47,756 employees (in the fourth quarter, including the Motorola subsidiary),[265] among them more than 10,000 software developers based in more than 40 offices.[266]

After the company's IPO in 2004, founders Sergey Brin and Larry Page and CEO Eric Schmidt requested that their base salary be cut to $1. Subsequent offers by the company to increase their salaries were turned down, primarily because their main compensation continues to come from owning stock in Google. Before 2004, Schmidt made $250,000 per year, and Page and Brin each received an annual salary of $150,000.[267]

In 2007 and early 2008, several top executives left Google. In October 2007, former chief financial officer of YouTube Gideon Yu joined Facebook[268] along with Benjamin Ling, a high-ranking engineer.[269] In March 2008, Sheryl Sandberg, then vice-president of global online sales and operations, began her position as chief operating officer of Facebook.[270] At the same time, Ash ElDifrawi, formerly head of brand advertising, left to become chief marketing officer of Netshops.[271] On April 4, 2011, Larry Page became CEO and Eric Schmidt became Executive Chairman of Google.[272] In July 2012, Google's first female employee, Marissa Mayer, left Google to become Yahoo!'s CEO.[273]

Asian man in his twenties wearing a blue, green, yellow and red propeller hat that says "Noogle"
New employees are called "Nooglers," and are given a propeller beanie cap to wear on their first Friday.[274]

As a motivation technique, Google uses a policy often called Innovation Time Off, where Google engineers are encouraged to spend 20% of their work time on projects that interest them. Some of Google's newer services, such as Gmail, Google News, Orkut, and AdSense originated from these independent endeavors.[275] In a talk at Stanford University, Marissa Mayer, Google's Vice President of Search Products and User Experience until July 2012, showed that half of all new product launches in the second half of 2005 had originated from the Innovation Time Off.[276]

Office locations and headquarters

Google Mountain View campus garden
Bicycles painted in the corporate color scheme are available for free use by any employee travelling around the Googleplex
Mountain View
Main article: Googleplex

Google's headquarters in Mountain View, California, is referred to as "the Googleplex", a play on words on the number googolplex and the headquarters itself being a complex of buildings. The lobby is decorated with a piano, lava lamps, old server clusters, and a projection of search queries on the wall. The hallways are full of exercise balls and bicycles. Many employees have access to the corporate recreation center. Recreational amenities are scattered throughout the campus and include a workout room with weights and rowing machines, locker rooms, washers and dryers, a massage room, assorted video games, table football, a baby grand piano, a billiard table, and ping pong. In addition to the recreation room, there are snack rooms stocked with various foods and drinks, with special emphasis placed on nutrition.[277] Free food is available to employees 24/7, with the offerings provided by paid vending machines prorated based on and favoring those of better nutritional value.[278]

Google's extensive amenities are not available to all of its workers. Temporary workers such as book scanners do not have access to shuttles, Google cafes, or other perks.[279]

New York City

In 2006, Google moved into 311,000 square feet (28,900 m2) of office space in New York City, at 111 Eighth Avenue in Manhattan.[280] The office was specially designed and built for Google and houses its largest advertising sales team, which has been instrumental in securing large partnerships.[280] The New York headquarters is similar in design and functionality to its Mountain View headquarters, and includes a game room, micro kitchens, and a video game area.[281] As of February 2012, a significant engineering team is based in New York City.[282] As of September 2013, Google's East Coast office is located at 76 Ninth Ave, New York City, New York.[283]

Other U.S. cities

By late 2006, Google established a new headquarters for its AdWords division in Ann Arbor, Michigan.[284] In November 2006, Google opened offices on Carnegie Mellon's campus in Pittsburgh, focusing on shopping-related advertisement coding and smartphone applications and programs.[285][286] Other office locations in the U.S. include Atlanta, Georgia; Austin, Texas; Boulder, Colorado; Cambridge, Massachusetts; San Francisco, California; Seattle, Washington; Reston, Virginia, and Washington, D.C.[287] Google has several international offices.

Google's NYC office building
Google's NYC office building houses its largest advertising sales team.[280]

In October 2006, the company announced plans to install thousands of solar panels to provide up to 1.6 megawatts of electricity, enough to satisfy approximately 30% of the campus' energy needs.[288] The system will be the largest solar power system constructed on a U.S. corporate campus and one of the largest on any corporate site in the world.[288] In addition, Google announced in 2009 that it was deploying herds of goats to keep grassland around the Googleplex short, helping to prevent the threat from seasonal bush fires while also reducing the carbon footprint of mowing the extensive grounds.[289][290] The idea of trimming lawns using goats originated from Bob Widlar, an engineer who worked for National Semiconductor.[291] In 2008, Google faced accusations in Harper's Magazine of being an "energy glutton". The company was accused of employing its "Don't be evil" motto and its public energy-saving campaigns to cover up or make up for the massive amounts of energy its servers require.[292]

On May 12, 2015, Google announced the setting up of its largest campus outside the United States in Hyderabad, India. The proposed campus can accommodate 6500 employees.[293]

Doodles

Main article: Google Doodle

Since 1998, Google has been designing special, temporary alternate logos to place on their homepage intended to celebrate holidays, events, achievements and people. The first Google Doodle was in honor of the Burning Man Festival of 1998.[294][295] The doodle was designed by Larry Page and Sergey Brin to notify users of their absence in case the servers crashed. Subsequent Google Doodles were designed by an outside contractor, until Larry and Sergey asked then-intern Dennis Hwang to design a logo for Bastille Day in 2000. From that point onward, Doodles have been organized and created by a team of employees termed "Doodlers".[296]

Easter eggs and April Fools' Day jokes

Main article: List of Google's hoaxes and easter eggs

Google has a tradition of creating April Fools' Day jokes. On April 1, 2000, Google MentalPlex allegedly featured the use of mental power to search the web.[297] In 2007, Google announced a free Internet service called TiSP, or Toilet Internet Service Provider, where one obtained a connection by flushing one end of a fiber-optic cable down their toilet.[298] Also in 2007, Google's Gmail page displayed an announcement for Gmail Paper, allowing users to have email messages printed and shipped to them.[299] In 2008, Google announced Gmail Custom time where users could change the time that the email was sent.[300]

In 2010, Google changed its company name to Topeka in honor of Topeka, Kansas, whose mayor changed the city's name to Google for a short amount of time in an attempt to sway Google's decision in its new Google Fiber Project.[301][302] In 2011, Google announced Gmail Motion, an interactive way of controlling Gmail and the computer with body movements via the user's webcam.[303]

Google's services contain easter eggs, such as the Swedish Chef's "Bork bork bork," Pig Latin, "Hacker" or leetspeak, Elmer Fudd, Pirate, and Klingon as language selections for its search engine.[304] The search engine calculator provides the Answer to the Ultimate Question of Life, the Universe, and Everything from Douglas Adams' The Hitchhiker's Guide to the Galaxy.[305] When searching the word "recursion", the spell-checker's result for the properly spelled word is exactly the same word, creating a recursive link.[306]

When searching for the word "anagram," meaning a rearrangement of letters from one word to form other valid words, Google's suggestion feature displays "Did you mean: nag a ram?"[307] In Google Maps, searching for directions between places separated by large bodies of water, such as Los Angeles and Tokyo, results in instructions to "kayak across the Pacific Ocean." During FIFA World Cup 2010, search queries including "World Cup" and "FIFA" caused the "Goooo...gle" page indicator at the bottom of every result page to read "Goooo...al!" instead.[308]

atGoogleTalks

AtGoogleTalks is a series of presentations by invited speakers sponsored by Google given at various Google offices throughout the world. The series has feature categories such as Authors@Google, Candidates@Google, Women@Google, Musicians@Google and others. For technical topics, there is Google Tech Talks (also known as EngEDU[309]) which is dedicated to exploring areas of technology and science. Guest speakers range from present and past world leaders to little-known poets and artists. Talks range from about 40 to 70 minutes. As of February 2009, there had been over 1700 guest speakers.[citation needed]

CodeF

Google CodeF is a career event and mentoring program organized by Google for female undergraduate computer scientists who have foundational coding skills in at least one of C++, Java or Python. It lasts 12 weeks and consists of eight mentoring meetings held in Google's offices and virtually. The initiative aims to develop female computer scientists and increase the number of women working in the technology industry.[citation needed]

Philanthropy

Main article: Google.org

In 2004, Google formed the not-for-profit philanthropic Google.org, with a start-up fund of $1 billion.[310] The mission of the organization is to create awareness about climate change, global public health, and global poverty. One of its first projects was to develop a viable plug-in hybrid electric vehicle that can attain 100 miles per gallon. Google hired Larry Brilliant as the program's executive director in 2004,[311] and the current director is Megan Smith.[312]

In 2008, Google announced its "project 10100" which accepted ideas for how to help the community and then allowed Google users to vote on their favorites.[313] After two years of silence, during which many wondered what had happened to the program,[314] Google revealed the winners of the project, giving a total of ten million dollars to various ideas ranging from non-profit organizations that promote education to a website that intends to make all legal documents public and online.[315]

In 2011, Google donated 1 million euros to International Mathematical Olympiad to support the next five annual International Mathematical Olympiads (2011–2015).[316] On July 2012, Google launched a "Legalize Love" campaign in support of gay rights.[317]

Tax avoidance

Google uses various tax avoidance strategies. Out of the five largest American technology companies, it pays the lowest taxes to the countries of origin of its revenues. The company accomplishes this partly by licensing technology through shell subsidiaries in Ireland, Bermuda, the Bahamas, and the Netherlands.[318] This has reportedly sparked a French investigation into Google's transfer pricing practices.[319]

Following criticism of the amount of corporate taxes that Google paid in the United Kingdom, Chairman Eric Schmidt said, "It's called capitalism. We are proudly capitalistic." During the same December 2012 interview, Schmidt "confirmed that the company had no intention of paying more to the UK exchequer."[320] In 2013, Schmidt responded to questions about taxes paid in the UK by pointing to the advertising fees Google charged UK companies as a source of economic growth.[321]

Google Vice President Matt Brittin testified to the Public Accounts Committee of the UK House of Commons that his UK sales team made no sales and hence owed no sales taxes to the UK.[322] In January 2016, Google reached a settlement with the UK to pay £130m in back taxes plus higher taxes in future.[323]

Environment

Since 2007, Google has aimed for carbon neutrality in regard to its operations.[324][325] Google disclosed in September 2011 that it "continuously uses enough electricity to power 200,000 homes", almost 260 million watts or about a quarter of the output of a nuclear power plant. Total carbon emissions for 2010 were just under 1.5 million metric tons, most due to fossil fuels that provide electricity for the data centers. Google said that 25 percent of its energy was supplied by renewable fuels in 2010. An average search uses only 0.3 watt-hours of electricity, so all global searches are only 12.5 million watts or 5% of the total electricity consumption by Google.[326]

In June 2013, The Washington Post reported that Google had donated $50,000 to the Competitive Enterprise Institute, a libertarian think tank that calls human carbon emissions a positive factor in the environment and argues that global warming is not a concern.[327]

In July 2013, it was reported that Google had hosted a fundraising event for Oklahoma Senator Jim Inhofe, who has called climate change a "hoax".[328] In 2014 Google cut ties with the American Legislative Exchange Council (ALEC) after pressure from the Sierra Club, major unions and Google's own scientists because of ALEC's stance on climate change and opposition to renewable energy.[329]

Lobbying

In 2013, Google ranked 5th in lobbying spending, up from 213th in 2003. In 2012, the company ranked 2nd in campaign donations of technology and Internet sections.[330]

Litigation

Main article: Google litigation

Google has been involved in a number of lawsuits including the High-Tech Employee Antitrust Litigation which resulted in Google being one of four companies to pay a $415 million settlement to employees.[331]

Criticism and controversy

Main articles: Criticism of Google and Censorship by Google

Google has been criticized for aggressive and contrived tax avoidance, alleged misuse and manipulation of search results, its use of others' intellectual property, concerns that its compilation of data may violate people's privacy, censorship of search results and content, and the energy consumption of its servers, as well as concerns over traditional business issues such as monopoly, restraint of trade, anti-competitive practices, and patent infringement.

Google's stated mission "to organize the world's information and make it universally accessible and useful",[332] and the means employed to accomplish it, have raised concerns among the company's critics. Much of the criticism pertains to issues that have not yet been addressed by cyber law.

See also

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Further reading

  • Saylor, Michael (2012). The Mobile Wave: How Mobile Intelligence Will Change Everything. Perseus Books/Vanguard Press. ISBN 978-1593157203. 

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