Alooma helps Google Cloud work more efficiently to provide its services to customers. Again, Google didn’t share just how much acquiring Alooma cost them. What started as a student project in a Stanford garage has grown into a global empire. Google’s business model (now Alphabet) started as a search engine to navigate the web, and over the years, it acquired other companies like YouTube and Android. It placed other bets on what the company defines as “moonshots.” Among the other bets are companies like Verily, Nest, Access, and Waymo.

Google acquired Fitbit, a company specializing in wearable fitness technology, in January 2021 to expand its portfolio. Fitbit is renowned for its range of products, including activity trackers and smartwatches catering to the health-conscious market. Verily is at the forefront of driving organic growth in the healthcare industry by collaborating with pharmaceutical companies, research institutions, and healthcare providers worldwide. The company continues to shape the future of personalized medicine and disease management through its innovative approach to integrating technology into traditional medical practices. The acquisition of Looker has further solidified Google’s commitment to offering comprehensive services that cater to the evolving needs of modern enterprises. Looker is a company specializing in business intelligence and data analytics solutions.

This kind of shared infrastructure is a huge advantage in a capital-intensive industry like automotive manufacturing. It allows for economies of scale and helps each brand stay competitive. It’s a complex web of ownership, but it makes a lot of sense when you look at the efficiencies it creates. For instance, Exxon Mobil owns several major companies, including XTO, InterOil, BOPCO, Celtic Exploration, and Jurong Aromatics. This shows how even in seemingly distinct industries, the concept of parent and subsidiary companies is very much alive and well.

Sergey Brin

The company works on solutions that combine devices, software, medicine and professional care. Verily has worked on developing a variety of products in the past, but some sources say that they are currently working on fighting coronavirus. Fitbit was founded in 2007 by James Park and Eric Friedman, whose goal was to create a wearable product that leveraged wireless technology to enhance users’ health and fitness. The company’s products include smartwatches/fitness trackers, the Fitbit app, and related gear, accessories, and services.

What is Alphabet, and is it the same as Google?

Alphabet Inc. was founded in 2015 by Google founders Larry Page and Sergey Brin as a parent company for all of their other organizations, such as Google, Waze, and DoubleClick. Through its technology platform, it enables businesses to create and manage their own campaigns across multiple channels such as websites, mobile apps, search engines, and more. The company’s products are designed to help people reach their health and fitness goals by providing them with data on their activity levels, sleep patterns, heart rate, calorie intake, and more.

What challenges does Alphabet face?

• This is the entity that sells products, provides services, hires employees, and deals with customers every single day.
• Acquiring smaller companies is one way larger businesses eliminate emerging rivals; these acquisitions reduce competition for Alphabet.
• This type of structure is common for large conglomerates that have their own core business but also acquire and manage other companies across various industries.
• Even though it’s owned by another, it usually runs its own day-to-day business and has its own team.

A holding company mainly just owns other companies and their stuff, but it doesn’t really make or sell anything itself. An operating company, on the other hand, is the one doing the actual business, like making products or offering services. A subsidiary is a company that’s owned and controlled by another company, called the parent company. Even though it’s owned by another, it usually runs its own day-to-day business and has its own team. These are arrangements where two or more independent companies come together to pursue a specific business objective. It’s not about one company owning another, but rather about shared ownership in a new, separate entity, or a contractual agreement to work together.

Well, Google is actually owned by a parent company called Alphabet Inc. Most of Meta’s acquisitions have primarily been “talent acquisitions” and acquired products are often shut-down. In 2009, Meta (as Facebook) CEO Mark Zuckerberg posted a question on Quora, titled “What startups would be good acquisitions for Facebook?”, receiving 79 answers. While continuing with a pattern of primarily talent acquisitions, other notable product focused acquisitions include the $19 billion WhatsApp acquisition and the $2 billion Oculus VR acquisition.

• It aims to expand its business beyond Google’s core services and address global challenges with innovative solutions.
• With its powerful ad engine and comprehensive suite of services, DoubleClick helps companies reach their target market more effectively and maximize the return on their ad investments.
• Google dug deeper into the hardware world with its purchase of Pointy.

Google hosts and develops a number of Internet-based services and products and generates profit primarily from advertising through its AdWords program. In response, Pichai told the committee that Google employees cannot influence search results. He also stated that Google users can opt out of having their data collected and that “there are no current plans for a censored search engine” in China. Taiwan Semiconductor Manufacturing (TSMC) is a Taiwanese multinational semiconductor contract manufacturing company that was founded in 1987 and is headquartered in Hsinchu, Taiwan.

CapitalG and GV invest in other companies, but since those are usually small stakes below 50%, these companies are not part of Alphabet Group. If you want to know more about what companies do they invest in, both CapitalG and GV have a helpful list of their investments on their webpages. As you can see, Alphabet and most of the other big US corporations do not disclose its full list of subsidiaries but only the “significant” one. So I had to go to other public resources (SEC filling, company registries, court document, ..) to put together a list of companies and their relationships.

Google, along with Alphabet, Inc., reported a market cap of $650 billion, making the dynamic duo a no-brainer stock for investors. Since its publishing, in August 2004, Google has made a substantial name for itself. A name so big, the company decided it needed a parent company.In 2015 Google had all acquired businesses organized under Alphabet, Inc. On December 10, 2012, Google sold the manufacturing operations of Motorola Mobility to Flextronics for $75 million. As a part of the agreement, Flextronics will manufacture undisclosed Android and other mobile devices.

Breaking Down Google: The Central Pillar of the Alphabet Inc. Empire

Without careful management, you risk blurring the lines between entities, which could expose the parent company to liabilities of its subsidiaries. Deciding on the right legal structure for each part of your business is a foundational step. It impacts everything from how you pay taxes to how much personal risk you might face. The choice of entity structure can significantly influence a company’s long-term viability and growth potential.

This structure allows them to experiment in diverse areas while keeping the core Google search and advertising business strong. It’s a common strategy for these massive tech players to keep innovating and staying ahead of the curve. Once you have multiple entities, managing them effectively becomes a complex task. It’s not just about keeping separate bank accounts; it’s about ensuring each entity operates within its legal boundaries while still contributing to the overall group’s goals. This often involves clear intercompany agreements, proper allocation of shared resources, and distinct financial records for each business.

Google Drive allows users to:

The company has operations in more than 40 countries and is a prominent developer of wireless technology and chipsets for mobile devices. Tony Fadell and Matt Rogers, founders of Nest, left their positions at Apple’s iPod and iPhone development division to start a technology company aimed at revolutionizing the thermostat. Google bought Nest in 2014 for more than $3 billion, officially entering the “smart home” device business. “Many companies get comfortable doing what they have always done, making only incremental changes.

Why Good Enough Leadership Can Be the Smartest Choice

It’s like building a family tree for businesses, and sometimes those trees get pretty tangled. A holding company, however, generally has much lower liability exposure. Since it doesn’t engage in direct business operations, it’s typically shielded from the day-to-day risks of its subsidiaries. If the coffee shop (the operating company) gets sued, the assets held by the holding company—like other properties or intellectual property—are often protected. This separation is a key reason why many businesses set up this kind of structure.

This type of structure is common for large conglomerates that have their own core business but also acquire and manage other companies across various industries. They might have a main manufacturing arm, for example, but also own a bunch of smaller companies in different sectors. This allows them to diversify their interests and revenue streams while still maintaining a primary business focus. Ever wonder how big companies like Google or Berkshire Hathaway manage so many different businesses? Instead, they often use a structure where some companies are owned by other companies. This setup can be pretty smart, helping them grow, save money, and even lower risks.

Jigsaw is a technology incubator and think tank that was created by Eric Schmidt in 2010. The company’s mission is to use technology to address some of the most pressing global security challenges, such as those related companies owned by google to cyber-attacks, online censorship, and political extremism. ITA Software is a travel industry software company that was founded in 1996 by a group of MIT computer scientists. The company’s first product was a software platform called QPX which provides airlines and travel agencies with real-time pricing and availability information for flights, hotels, and car rentals. The technology behind Intrinsic Innovation was developed at X for five years before it became an independent Alphabet company. Today, Intrinsic is focused on identifying partners in the electronics, healthcare, and automotive industries that are already using industrial robotics.