Google Search
I'm Feeling Lucky
Team Venus Spring 2008
©2008 Google
Overview
Google Search
I'm Feeling Lucky
Team Venus Spring 2008
©2008 Google
10,000,000,000,000,000,000,000,000,
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GOOGOL The American Heritage Dictionary, 3rd Edition
“Googol” n. The number 10 raised to the power of 100 (10^100)
[A coinage]
Merriam Webster Collegiate Dictionary, 2006
Oxford English Dictionary, 2006
v. “To use the Google search engine to obtain information on the
Internet.”
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What is a Web-based Portal?
Web-based Portal
Definition
Portal - “Doorway”
A Web site or service that offers a broad
array of resources and services, such as:
e-mail,
forums,
search engines,
online shopping malls.
Type Subsidiary of Time Warner
Founded in 1985
(as Quantum Computer Service)
Headquarters New York
Type Public (NASDAQ:YHOO)
Founded Santa Clara, CA 1995
Headquarters Sunnyvale, CA
Type Search Engine
Founded 1996
Headquarters Oakland, CA
• Google does search
• Google believes in instant gratification
• “The perfect search engine would
understand exactly what you mean and
give back exactly what you want.”
» Larry Page, Co-Founder Google
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History
Google History
Stanford University, 1998
- Sergey Brin
- Larry Page
PageRank
Algorithm that solved the problem of spam
Google Inc.
With $1.1 million initial investment, Google was
Incorporated on September 7, 1998
Sergey Brin
Born: August 21, 1973 (age 34)
Moscow, Soviet Union
Occupation:Co-founder and President
of Technology of Google
Salary: USD 43,726 (2005)[1][2]
Net worth: ▲US$18.7 billion[2]
Spouse: Anne Wojcicki[3]
Website: Stanford.edu/~sergey/
Larry Page
Born: March 26, 1973 (age 35)
East Lansing, Michigan
Occupation: Co-Founder & President
of Products of Google Inc.
Salary: $25,045 USD (2005)[1][2]
Net worth: ▲ $18.6 billion USD
(2008)[3]
Spouse: Lucinda Southworth
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Type
Public (NASDAQ: GOOG), (LSE:GGEA)
Founded
Menlo Park, CA (September 7, 1998)
Headquarters Mountain View, CA
Key People
» Eric Schmidt, CEO/Director
» Serge Brin, Co-Founder, Technology President
» Larry Page, Co-Founder, Products President
» George Reyes, CFO
Industry
Internet, Computer Software
Revenue
US $16.593 billion [UP]56% (2007)
Net Income
US $4.203 billion [UP] 25% (2007)
Total Assets
US $22.335 billion (2007)
Total Equity
US $22.689 billion (2007)
Employees
19,156 (March 31, 2008)
Website
www.google.com
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Key Factors Behind Early Success
PageRank (Core Competence)
Created when web-based search engines
were becoming popular
(Patent granted on September 4, 2001)
Eric Schmidt joined Google in 2001
– Sun Microsystems
– Novell
Earned revenue
• Licensed search technology to Yahoo!
and other 3rd-party sites
First Paid Listings on December 1999
– CPC “cost per click”
– CTR “click through rate”
Type Public (NASDAQ: JAVA)
Founded 1982
Headquarters Santa Clara, CA
Industry Diversified computer
systems
Products Computer servers,
workstations,
storage, software,
services
Rev ▲US$13.873 billion (FY07)
OI ▲US$309 million (FY07)
NI ▲US$473 million (FY07)
Employees 33,350 (2008)
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Key Factors Behind Early Success
Word of Mouth
No money spent on advertisements
Became popular via word of mouth
Industry Trend Setter
-In 2003, Lauched contextual paid
listing, which was followed by
Overture
- Expanded domain beyond web
search
Unique Culture
70-20-10
Cost-per-Impression
Started 1999
Google’s 1st paid listing.
Charged a fixed amount each time
client’s ad was viewed, regardless
of whether viewer clicked on the ad
Weighted CPC bids
Started 2002
Weighted CPC bids by the ratio of
an ad’s actual click through rate
(CTR) to its statistically-derived
expected CTR
Helped ensure that users saw the
most relevant ads first
Maximized revenue since there
would be more paid-listings with
higher CTR
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Governance
Dual-class equity structure
Class A shares - 1 votes
Class B shares - 10 votes
Immunity
…from replacement
Analysis of Market
Google Search
I'm Feeling Lucky
Web Porter’s Five
Barriers to Entry
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Better algorithm
User data validation trust score
Established search engine sites
Capital
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How is the Market?
After announcing the IPO plans
– Acceleration of product development plans
(IPO August 2004)
– By 2005 some of Google’s advertiser charged the
company of neglecting customer service. Despite
this company continue to grow.
– Google is colliding with nearly every company in
the information technology industry.
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Who are Google’s Competitors?
Yahoo!
– Internet Portal who invested early in Google
– 2006 Yahoo and Google were competitors
– Main difference between Yahoo & Google.
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AltaVista
AlltheWeb
GoodSearch
Rectifiti
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Who are Google’s Competitors?
Microsoft
– Develop its in-house search engine in 2005
– Courted AOL as a ventured partner
– Google’s new products
Live Search
• A9.com
• Tafiti
• Ms. Dewey
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Expanding
eBay
Searches are the beginning of e-commerce
(eBay owns 25%)
Craig’s List
Amazon
Google’s Wallet
Competing with eBay’s pay pal
Google’s BASE
Google’s Future and Recommendations
Google Search
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What should Google do?
Google’s Options
• Continue to develop highly effective algorithms
that generate superior search solutions.
• Branch into other arenas like e-commerce or become a
portal like Yahoo!
• Venture in developing new products to compete against
Microsoft.
• Consider venturing out with AOL and pay only up to
100% of the searches generated by AOL.
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Where is Google Now?
Google
• Has the best search engine
• Threat to Microsoft and Yahoo!
• Biggest threat is your cellphone
(Business Week April 28, 2008)
• Distinctive Culture & Organizational Scheme
has been what makes this company unique
and successful
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Known Products
Gmail
Search and personalize your computer
Picasa
Explore the world from your computer
YouTube
Business info, news, and interactive charts
Desktop
Find and connect with businesses from your phone, for free
Orkut
Meet new people and stay in touch with friends
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Other Products by Google
Earth
Explore the world from your computer
Finance
Business info, news, and interactive charts
GOOG-411
Find and connect with businesses from your phone, for free
Special Searches
Search within specific topics
Scholar
Search scholarly papers
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List of Products
Desktop Products
AdWords Editor
Earth
Gmail Notifier
Hello
Pack
Google Earth,
Google Desktop,
Picasa, Google Talk,
StarOffice and
Mozill a Firefox.
Photos Screensaver
Secure Access
VPN client for
Google WiFi user
SketchUp
VoIP
Web Accelerator
Desktop extensions
Blogger Web
Comments
Browser Sync
Dashboard Widgets
for Mac
Pinyin IME
Send to Phone
Mobile products
Blogger Mobile
Calendar
Gmail
News
Google Mobili zer
iGoogle
Product Search
Reader
Mobile search
Picasa Web Albums
Google Notebook
Downloadable
mobile products
Gmail mobile
Maps Mobile
YouTube
Google Talk
(BlackBerry
Exclusive)
Google Sync
(BlackBerry
Exclusive)
Mobile Updater
(BlackBerry
Exclusive)
Web products
Advertising
AdSense
AdWords Website
Optimizer
Audio Ads
Click-to-Call
Grants
TV Ads
Communication &
Publishing
3D Warehouse
Apps
Blogger
Calendar
Docs
Dodgeball
FeedBurner
Gadgets
Gmail
GrandCentral
iGoogle
Joga Bonito
JotSpot
Notebook
Marratec h eMeeting
Orkut
Page Creator
Picasa Web Albums
Reader
Shared Stuff
Questions and
Answers (Russia
Only)
YouTube
Development
Android
App Engine
Code
Co-op
Google Web Toolkit
Mashup Editor
OpenSocial
Webmaster Tools
Mapping
Maps
Mars
Moon
Sky
Ride Finder
Transit
Search
Accessible Search
Alerts
Base
Blog search
Book Search
Catalogs
Checkout
Code Search
Directory
Experimental Search
Finance
Groups
Image Labeler
Image Search
Language Tools
Life Search (China)
Movies
Music Trends
News
News Archive
Search
Patent Search
Product Search
(Previously Froogle)
Rebang (China)
Scholar
SearchMash
Sets
SMS
Suggest
Suggest Australia
University Search
U.S. Government
Search
Video
Voice Local Search
Web History
Web Search
Statistics
Analytics
Gapminder
Trends
Zeitgeist
Hardware products
Google Search
Appliance
Google Mini
Other products
GOOG-411
Previous products
Answers
Deskbar
Free Search
Local
Personalized Search
Public Service
Search
Related Links
Spreadsheets
Voice Search
Writely
Google X