Google earlier this month reported its earnings for the first quarter of 2012, topping Wall Street’s estimates. The Internet giant also announced plans to create a new class of non-voting capital stock that would effectively create a 2-for-1 stock split. As a result, Google would be able to issue new shares of stock for acquisitions and employee compensation without diluting the 56.3% voting stake the company’s co-founders Larry Page and Sergey Brin control. Not everyone is happy about the planned split, however, and a shareholder has sued the company and its board in an attempt to block the plan. The class action lawsuit is being put forward by the Brockton Retirement Board, which has accused Google of breaching its fiduciary duty to the company’s shareholders, Reuters reported on Monday. The complaint states that Page and Brin “wish to retain this power, while selling off large amounts of their stockholdings, and reaping billions of dollars in proceeds.” The Brockton Retirement Board asked a Delaware judge to block the plan and award unspecified compensatory damages. More →
According to Google CEO and co-founder Larry Page, the Android mobile operating system is an important asset for Google, but it is not critical. Page made the claim during courtroom testimony as he took the stand for a second day in the company’s legal dispute with Oracle. The CEO’s testimony is rather puzzling — Page has previously claimed the company’s Android platform was “on fire” and a “tremendous example of the power of partnership” that “gets better with each version.” During an earnings call in October, Page said the company was “seeing a huge positive revenue impact from mobile, which has grown 2.5 times in the last 12 months to a run rate of over $2.5 billion.” Furthermore, Google’s $12.5 billion acquisition of Motorola Mobility was meant to protect Android and further its mobile dominance according to statements the CEO made when the deal was announced. More →
Walter Isaacson, the man behind the authorized Steve Jobs biography, said while speaking at the Royal Institution on Wednesday that he disagreed with Google CEO Larry Page, and Jobs’s hatred for Android was real, Macworld reported. In an earlier interview, Page indicated that the Android, Apple feud was just “for show” and merely a way to rally the troops. The CEO mentioned how he “had a relationship with Steve” and despite his declining health at the time, Apple’s co-founder reached out to him for a casual talk. Isaacson, however, outlined why Jobs felt such “thermonuclear” anger towards Google’s “stolen product.” More →
Steve Jobs famously vowed to spend his dying breath and all of Apple’s cash to destroy Google’s Android operating system. In an interview with Bloomberg Businessweek, Google CEO Larry Page said that despite Jobs’s rather public hatred, “the Android differences were actually for show.” Page claimed that, “For a lot of companies, it’s useful for them to feel like they have an obvious competitor and to rally around that. I personally believe that it’s better to shoot higher. You don’t want to be looking at your competitors. You want to be looking at what’s possible and how to make the world better.” The CEO shot down rumors that the two were bitter rivals, instead noting that “I had a relationship with Steve.” Despite Jobs’s ailing health at the time, Apple’s co-founder reached out to Page for a casual talk. “He was quite sick. I took it as an honor that he wanted to spend some time with me,” Page said. “I figured he wanted to spend time with his family at that point. He had a lot of interesting insights about how to run a company and that was pretty much what we discussed.”
Glassdoor on Friday revealed its latest list of the “Top 25 Highest Rated CEOs of 2012.” Apple’s Tim Cook took the top spot with a 97% approval rating, leading Ernst & Young’s Jim Turley, Qualcomm’s Paul Jacobs and Google’s Larry Page. “I think leadership is doing an amazing job,” said one Apple employee. “We have the best management team anywhere.” When Steve Jobs stepped down in August 2011, the late Apple co-founder garnered a cumulative approval rating of 97%, however Cook leads Jobs’s rating of 95% from March 2010 to March 2011. While it has been a tough year for Hewlett-Packard, the company’s new CEO Meg Whitman also made the list with an 80% approval rating, placing her in the No. 24 spot. Glassdoor bases the list entirely on feedback from anonymous employees who were asked one question — do they approve of the way their CEO is leading the company? More →
Google announced its third quarter 2011 results on Friday, which surpassed analyst expectations. “We had a great quarter,” Google CEO Larry Page said. “Revenue was up 33% year on year and our quarterly revenue was just short of $10 billion,” Page explained, noting that the company’s brand new Google+ social network now has more than 40 million users. To clarify Page’s statement, the company’s revenue was $9.72 billion, up from the $7.29 billion reported during the third quarter of 2010. Operating income was $3.06 billion, up from the $2.55 billion in operating revenue reported during the same period last year. Net income for the quarter was $2.73 billion, up from the $2.17 billion in the third quarter of 2010. Google’s Cost-Per-Click, which includes advertisements on Google’s sites and from its AdSense partners, increased 5% year-over-year and declined 5% consecutively. The Internet giant also said it now has $42.6 billion in cash. Google did not discuss figures related to its Android operating system. Read on for the full press release. More →
Speaking during a seminar in Helsinki, Nokia CEO Stephen Elop gave a gloomy response to Google’s planned $12.5 billion takeover of Motorola Mobility. “If I happened to be someone who was an Android manufacturer or an operator, or anyone with a stake in that environment, I would be picking up my phone and calling certain executives at Google and say ‘I see signs of danger ahead,’” Elop said. “The very first reaction I had was very clearly the importance of the third ecosystem and the importance of the partnership that we announced on February 11, it is more clear than ever,” Elop added, noting Nokia’s recent agreement to launch smartphones running Microsoft’s Windows Phone operating system. HTC, Samsung, LG and Sony Ericsson all voiced support for the merger, which Google’s CEO Larry Page said will help it in its patent battles against Microsoft and Apple. More →
It may seem that Google’s other Android partners would be upset by the search giant’s decision to acquire Motorola for $12.5 billion but that’s apparently not the case. Execs from HTC, LG, Samsung and Sony Ericsson spoke in support of the purchase earlier on Monday, and now HTC has issued a second statement on the deal. “We are supportive of Google’s acquisition of Motorola Mobility as this is a positive development to the Android ecosystem, which we believe is beneficial to HTC’s promotion of Android phones,” an HTC spokesperson told BGR on Monday. “The partnership between HTC and Google remains strong and will not be affected by this acquisition.” HTC’s CEO Peter Chou said his company welcomes the acquisition and noted Google’s commitment to defending Android, its partners and the entire ecosystem. Google’s CEO Larry Page said that the acquisition will allow Google to “better protect Android from anti-competitive threats from Microsoft, Apple and other companies.”
Early Monday morning, Google announced that it will acquire Motorola for $12.5 billion. Google CEO Larry Page explained the acquisition will help bolster the tech giant’s patent portfolio and that his company will continue to “work with all [of its partners] to deliver outstanding user experiences.” While it may seem that Motorola will now have the upper hand in creating Android smartphones, execs from Samsung, Sony Ericsson, HTC, and LG have all issued statements in support of the acquisition. “We welcome today’s news, which demonstrates Google’s deep commitment to defending Android, its partners, and the ecosystem,” J.K. Shin, president of Samsung’s Mobile Communications division said. “I welcome Google’s commitment to defending Android and its partners,” Sony Ericsson president and CEO Bert Nordberg said. “We welcome the news of today’s acquisition, which demonstrates that Google is deeply committed to defending Android, its partners, and the entire ecosystem,” HTC’s CEO Peter Chou added. “We welcome Google’s commitment to defending Android and its partners,” LG’s president and CEO Jong-Seok Park said. The deal should certainly help Google defend Motorola, Samsung and HTC in their ongoing patent battles with Apple and other companies, though it remains to be seen how the acquisition might affect the Android ecosystem in the long run.
Google told the Superior Court in Boston last week that it did nothing illegal with regard to blocking Skyhook’s contract with Motorola. Skyhook wireless, a private Boston-based LBS company, filed suit against Google in September 2010, alleging that the Internet giant interfered with a contract the company had recently been awarded by Motorola. The deal would see certain location-based services from Google replaced by Skyhook’s solution, which, according to Google Group Project Manager Steve Lee, were better and more accurate than Google’s own offering. Email chains made public as part of the hearings clearly show that Google took action to get its services back on Motorola phones, but Google contends that its actions were all legal. “To the extent Google took any action that affected Skyhook, those actions were the lawful exercise of legitimate rights of Google and therefore are not actionable,”Google said in a court filing. “If Skyhook suffered any damages, which is denied, then any such damages resulted solely from its own acts or omissions.” More →
If ever there were two contemporary corporate giants worthy of the title “game changer”, Google Co-Founders Sergey Brin and Larry Page fit the bill. Those interested in the story that started as a research project at Stanford University in 1996 and exploded into the behemoth Internet (and beyond) company we know, love and fear today, Bloomberg Television has you covered. Bloomberg TV’s original 11-part documentary series “Bloomberg Game Changers” will cover the two Googlers this Thursday at 9:00 pm ET in an hour-long special that includes interviews with Brin and Page’s college professors as well as Google’s first employee, Craig Silverstein. Hit the jump for a video preview and then set your DVR boxes post haste. More →
Regardless of how large, powerful and influential a company is, no one is recession-proof. Internet search giant Google has been laying off employees since this summer, and it has been doing so under the news radar for the most part. The SEC requires companies to disclose information regarding layoffs but apparently Google had slipped around the rule and reported its Q3 earnings as expected by saying it had cut down on “operational expenses”. Though Google officially has 20,123 employees, there are an additional 10,000 which are just labeled as temporary operational expenses. However it wants to label those human beings, they are still going to get shafted and are still going to be hurt by this massive cut in manpower. Google’s very own Sergey Brin says, “There is no question that the number (of workers) is too high”.