Alphabet Google Races to a Trillion
May 30, 2018
Short honk: I read “Microsoft Just Surpassed Alphabet’s Market Cap for the First Time in 3 years and the Race to Become the First Trillion Dollar Company Is Heating Up.” The source is one which does quite a few MBA arabesques with nifty “flip it around” spins.
It’s no secret that the egos of the folks who run companies trying to hit the trillion dollar bull’s eye are competitive “aw, shucks” people.
The write up reports, with what I thought was glee:
Microsoft just surpassed Google’s parent company Alphabet in market value, clocking in at the end of Tuesday’s regular trading session with a market cap of $753 billion. Alphabet’s end of day market value was $739 billion.
You don’t catch the glee? Too bad.
For me here in rural Kentucky, pondering the sights and sounds of the local old folks’ home, I noted something different.
In order to pump up the bucks, Alphabet Google may have to turn the dials on its revenue machine. My hypothesis is that Alphabet Google will revisit the “diffusion” of ads in order to deplete advertisers’ accounts in the quest for clicks. My hunch is that some of the sites still getting money from Adsense might note a shift as well. Plus, there are the monetization opportunities subscriptions provide.
If smaller sites dependent on Google for revenue are negatively affected, those sites may go away. That means Alphabet Google spells major accounts. Is this another variation of the have-have nots social pattern?
I think the GOOG can hit a trillion, but there may be some road kill on that fast lane to big bucks. Then there is the problem of the race leaders. I need a bite of an Apple.
Stephen E Arnold, May 30, 2018