A PROJECT ON

SUCCESS STORY OF GOOGLE

In The Subject
STRATEGIC MANAGEMENT
Submitted By
Anish Desai
A008
M.Com Part- I (Business Management)
Under the Guidance Of
Prof. Prerna Sharma
To
University Of Mumbai
For
Master of Commerce Program (Semester-I)
In
Business Management
Year: 2015-16
SVKMS
NARSEE MONJEE COLLEGE OF COMMERCE & ECONOMICS
VILE PARLE (W), MUMBAI-400056

EVALUATION CERTIFICATE

This is to certify that the undersigned have assessed and evaluated the project on, Success
Story of Google submitted by Anish Desai, student of M.Com.-Part-I (Semester I) In
Business Management for the academic year 2015-16. This project is original to the best of our
knowledge and has been accepted for Internal Assessment.

Name & Signature of Internal Examiner: ____________________________

_____________________________
Name & Signature of External Examiner: ____________________________
_____________________________

Principal

DECLARATION BY THE STUDENT

I, Anish Desai, student of M.Com. (Part-I) In Business Management, Roll No: A08 hereby
declare that the project titled Success Story of Google for the subject Strategic Management
submitted by me for Semester- 1 of the academic year 2015-16, is based on actual work carried
out by me under the guidance and supervision of Prof. Prerna Sharma. I further state that this
work is original and not submitted anywhere else for my examination.

Place: Mumbai
Date: 1st October, 2015.
Name and Signature of Student
Name: Anish Desai

Signature: ______________

ACKNOWLEDGEMENT

Projects have always been fun Learning experience, but with growing age, at this Masters
Level, it surely demands Corporate and Depth Approach.
This project was a great learning experience and I take this opportunity to acknowledge all those
who gave me their invaluable guidance and inspiration provided to me during the course of this
project by my guide.
I would like to thank Prof. Prerna Sharma - Professor of Strategic Management.
I would also thank the M.Com Department of Narsee Monjee College of Commerce and
Economics who gave me this opportunity to work on this project which provided me with a lot
of insight and knowledge of my current curriculum and industry as well as practical knowledge.
I would sincerely thank our coordinator Mr. Harish Sharma for constant guidance over the
project and curriculums.
I would also like to thank the library staff of Narsee Monjee College of Commerce &
Economics for equipping me with the books, journals, and magazines for this project.
I would also like to thank my friends and fellow students who helped me in the cause of the
project.

Success Story of Google

Serial Number

Title

1
2

Introduction
Research
Methodology
Conceptual
Framework
Company Profile

3
4
5
6
7
8

About the
Founders
History and
Growth of Google
Future of Google,
Conclusion
Bibliography

Chapter 1 Introduction
Every day, hundreds of millions of Internet users type search terms into the address bar of their
browsers and come face to face with meaningful information. While this everyday task may
seem simple and unremarkable, it would be impossible without the innovative thinking of one
Internet company: Google. Known around the world as a leader in online search, Google has
grown into one of the biggest companies on the Internet. Boasting up to ninety percent market
share in many countries, the giant search company owns one of the most popular websites on the
entire Internet the instantly recognizable Google.com search page.
Despite Googles current dominance of search, the company hasnt always been a major leader.
Developed in the late 1990s as a Stanford University computing and data research project,
Googles founders Sergey Brin and Larry Page invented a unique way of judging the
usefulness of online data known as Page Rank.
The system assessed the value of a website using inbound links to the page, and their anchor text,
as a voting system. The more links a page had, the more it was worth to the system, and pages
with a high worth were quickly pushed to the top of Googles search results page.
The new system for organizing content on the internet was a massive success, with its PageRank
engine producing results that were far more user friendly than those dished up by rival search
engines such as Yahoo and HotBot. Google grew into the worlds most popular search engine
within four years of launching in 1997.

This brings us to ask, what is Google?

Google is an American multinational technology company specializing in Internet-related
services and products. These include online advertising technologies, search, cloud computing,
and software. Most of its profits are derived from AdWords, 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 but 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," and its unofficial slogan was "Don't be evil". In 2004, Google
moved to its new headquarters in Mountain View, California, nicknamed the Googleplex. In
August 2015, Google announced plans to reorganize its interests as a holding
company called Alphabet Inc. Once this restructuring is complete, Google will become
Alphabet's leading subsidiary, as well as the parent for Google's Internet interests.
Rapid growth since incorporation has triggered a chain of products, acquisitions and partnerships
beyond Google's core search engine. It offers online productivity
software including email (Gmail), a cloud storage service (Google Drive), an office
suite (Google Docs) and a social networking service (Google+). Desktop products include
applications for web browsing, organizing and editing photos, and instant messaging. The
company leads the development of the Android mobile operating system and the browseronly Chrome OS for a class of netbooks known as Chromebooks. Google has moved
increasingly into communications hardware: it partners with major electronics manufacturers in
the production of its "high-quality low-cost" Nexus devices and acquired Motorola Mobility in
May 2012. In 2012, a fiber-optic infrastructure was installed in Kansas City to facilitate a Google
Fiber broadband service.

The corporation has been estimated to run more than one million servers in data centers around
the world (as of 2007). It processes over one billion search requests and about 24 petabytes of
user-generated data each day (as of 2009). 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. Its market
dominance has led to prominent media coverage, including criticism of the company over issues
such as search neutrality, copyright, censorship, and privacy.

Chapter 2 Research methodology

Primary Data

Internet
Journals
Newspaper
Scholarly articles

Secondary Data

Reading transcripts of interviews

Basic analysis of data

Chapter 3 Conceptual Framework

Everybody knows that Google Inc.'s innovations in search technology made it the No. 1 search
engine. But Google didn't make money until it started auctioning ads that appear alongside the
search results. Advertising today accounts for 99% of the revenue of a company whose market
capitalization now tops $100 billion.
Now, research is showing that Google's auction methodology, invented internally and so
important for its success, is far more innovative than auction experts once believed. While
superficially similar to earlier types of auctions, it is a "novel mechanism" that "emerged in the
wild," write the authors of The High Price of Internet Keyword Auctions, a new study by
Benjamin Edelman of Harvard University, Michael Ostrovsky of Stanford University, and
Michael Schwarz of the University of California at Berkeley. Google's AdWords became so
successful after its debut four years ago that some of its key features were quickly adopted by
Yahoo! Inc. then the search leader.

The products and services offered by Google are:

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. In 2011, 96% of Google's revenue was derived
from its advertising programs. 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.
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. 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.
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.
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." The policy was later changed. 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.

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

Search engine
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%. Google
indexes billions 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. In this case, the
United States District Court of Nevada ruled in favor of Google in Field v. Google and Parker v.
Google. The publication 2600: The Hacker Quarterly has compiled a list of words that the web
giant's new instant search feature will not search.
Google Watch has criticized Google's PageRank algorithms, saying that they discriminate against
new websites and favor established sites. The site has also alleged that there are connections
between Google and the National Security Agency (NSA) and theCentral Intelligence
Agency (CIA).[183]
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. TheAuthors 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. Google eventually
reached a revised settlement in 2009 to limit its scans to books from the U.S., the UK, Australia,
and Canada. Furthermore, the Paris Civil Court ruled against Google in late 2009, asking it to
remove the works of La Martinire (ditions du Seuil) from its database. In competition
with Amazon.com, Google sells digital versions of new books.
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.

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.

Productivity tools
Gmail, a free webmail service provided by Google, was launched as an invitation-only beta
program on April 1, 2004, and became available to the public on February 7, 2007. The service
was upgraded from beta status on July 7, 2009, at which time it had 146 million users
monthly. 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. 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.
Gmail uses AJAX, a programming technique that allows web pages to be interactive without
refreshing the browser. Steve Ballmer (Microsoft's former CEO), Liz Figueroa, Mark Rasch, and
the editors of Google Watch 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.
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. On
June 6 after the acquisition, Google created an experimental spreadsheet editing program, which
was combined with Google Docs on October 10.
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.

Enterprise products
Google Search Appliance was launched in February 2002, targeted toward providing search
technology for larger organizations. 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.
Google Apps allows organizations to bring Google's web application offerings, such
as 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 and proceeded to integrate the company's security
technologies into Google Apps under the name Google Postini Services.

Other products
Google Translate is a server-side machine translation service, which can translate between 80
different languages. For some languages, handwriting recognition, or speech recognition can be
used as input, and translated text can be pronounced through speech synthesis. The software
uses corpus linguistics techniques, where the program "learns" from professionally translated
documents, specifically UN and European Parliament proceedings.
Google launched its Google News service in 2002, an automated service which summarizes
news articles from various websites. 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.
Google currently offers free wi-fi access in its hometown of Mountain View, California.
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. On March
30, 2011, Google announced that Kansas City, Kansas would be the first community where the
new network would be deployed.[216] In July 2012, Google completed the construction of a fiberoptic 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.
In 2007, reports surfaced that Google was planning the release of its own mobile phone, possibly
a competitor to Apple's iPhone. 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. 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. On January 5, 2010, Google
released an Android phone under its own company name called the Nexus One. A report in July

2013 stated that Google's share of the global smartphone market, led by Samsung products, was
64% in March 2013.
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, 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.
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. While Goggles could originally
identify people as well, Google has limited that functionality as a privacy protection.
In 2011, Google announced Google Wallet, a mobile application for wireless payments. In late
June 2011, Google soft-launched asocial networking service called Google+. 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. After four weeks in operation, it reached 25 million users.
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.
In 2013, Google launched Google Shopping Express, a delivery service initially available only in
San Francisco and Silicon Valley.

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

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 resultssuch as
web pages, newspaper articles, or blogsthat match the user's search term.[236][237][238]
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.
Project Fi enables communication across Wi-Fi and cell networks.[240] In July 2015 Google
released DeepDream, an image recognition software capable of creating psychedelic images
using a convolutional neural network.[241][242][243][244]

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.

Chapter 4 Company Profile

Google Inc. (Google), incorporated on October 22, 2002, provides its products and services in
more than 100 languages and in more than 50 countries, regions and territories. The Company
offers a range of products across screens and devices. The Company delivers both performance
advertising and brand advertising. The Company has an ad technology platform for brand
advertisers, agencies, and publishers to power their digital marketing businesses across display,
mobile and video. The Companys subsidiaries include Google Ireland Holdings, Google Ireland
Limited and Google International LLC.
The Companys performance advertising creates and delivers relevant ads, which leads to direct
engagement with advertisers. Most of its performance advertisers pay its customers on a costper-engagement basis, like when a user engages in their ads. Performance advertising lets its
advertisers connect with users while driving measurable results. For performance advertisers,
AdWords, its primary auction-based advertising program, creates text-based ads that appear on
Google Websites and the Websites of Google Network Members, who use its advertising
programs to deliver relevant ads alongside their search results and content. In addition, the
partners that comprise the Google Network use its AdSense program to deliver relevant ads. The
Company invests in its advertising programs and to make upgrades, including Enhanced
Campaigns, which helps advertisers to create advertising and marketing campaigns that run
across multiple devices, and Estimated Total Conversions, which help advertisers, measure the
solutions of their campaigns in a multi-screen world. Brand advertising enhances users
awareness of and affinity with advertisers products and services, through videos, text, images
and other interactive ads that run across various devices. It helps brand advertisers deliver digital
videos and other types of ads to audiences for its brand-building marketing campaigns and in
turn, distributes their ads, such as the TrueView ads displayed on its YouTube videos.
The Company competes with Yahoo! Inc., Microsoft Corporation, Yandex, Baidu, Inc., Naver
Corporation, Mindspark Interactive Network, Inc., KAYAK Software Corporation, InfoSpace,
LLC, LinkedIn Corporation, WebMD, LLC., Amazon.com, Inc., eBay Inc., Facebook, Inc.,
Twitter Inc., Criteo and AppNexus Inc.

Chapter 5 About the Founders

Larry Page
Lawrence "Larry" Page (born March 26, 1973) is an American computer scientist and internet
entrepreneur who co-founded Google Inc. with Sergey Brin, and will be the future CEO of the
proposed conglomerate, Alphabet Inc. Page is the inventor of PageRank, Google's best-known
search ranking algorithm. As of November 2014, Google has 55,600 employees and operates in
more than 40 countries.
Page is a board member of the X Prize Foundation (XPRIZE) and was elected to the National
Academy of Engineering in 2004.Page received the Marconi Prize in 2004.
Page was born in East Lansing, Michigan, United States (U.S.). His father, Carl Vincent Page,
Sr., earned a PhD in computer science in 1965, when the field was being established, and has
been described by BBC reporter Will Smale as a "pioneer in computer science and artificial
intelligence." He was a computer science professor at Michigan State University and Page's
mother, Gloria, was an instructor in computer programming at Lyman Briggs
College at Michigan State University. Page's mother is Jewish, but he was not raised in a
religious household and "does not readily identify as a Jew."
During an interview, Larry Page recalled his childhood, noting that his house "was usually a
mess, with computers, Science and Technology magazines and Popular Sciencemagazines all
over the place", an environment in which he immersed himself. Page was an avid reader during
his youth, writing in his 2013 Google founders letter that "I remember spending a huge amount
of time poring over books and magazines". According to writer Nicholas Carlson, the combined
influence of Page's home atmosphere and his attentive parents "fostered creativity and
invention". Page also played saxophone and studied music composition while growing up. Page
has mentioned that his musical education inspired his impatience and obsession with speed in
computing. "In some sense I feel like music training led to the high-speed legacy of Google for
me," In an interview Page said that "In music youre very cognizant of time. Time is like the
primary thing" and that "If you think about it from a music point of view, if youre
a percussionist, you hit something, its got to happen in milliseconds, fractions of a second".

Page was first attracted to computers when he was six years old, as he was able to "play with the
stuff lying around"first-generation personal computersthat had been left by his parents. He
became the "first kid in his elementary school to turn in an assignment from a word processor".
His older brother also taught him to take things apart and before long he was taking "everything
in his house apart to see how it worked". He said that "from a very early age, I also realized I
wanted to invent things. So I became really interested in technology and business. Probably from
when I was 12, I knew I was going to start a company eventually."
Page attended the Okemos Montessori School (now called Montessori Radmoor) in Okemos,
Michigan, from 1975 to 1979, and graduated from East Lansing High School in 1991. He
attended Interlochen Center for the Arts as a saxophonist for two summers while in high school.
Page holds a Bachelor of Science in computer engineering from the University of Michigan, with
honors and a Master of Science in computer science from Stanford University. While at the
University of Michigan, Page created an inkjet printer made of Legobricks (literally a line
plotter), after he thought it possible to print large posters cheaply with the use of inkjet cartridges
Page reverse-engineered the ink cartridge, and built all of the electronics and mechanics to
drive it. Page served as the president of the Beta Epsilon chapter of the Eta Kappa Nu fraternity,
and was a member of the 1993 "Maize & Blue" University of Michigan Solar Car team. As an
undergrad at the University of Michigan, he proposed that the school replace its bus system with
something he called a "PRT," or "personal rapid transit system," which was essentially a
driverless monorail with separate cars for every passenger. He also developed a business plan for
a company that would use software to build a music synthesizer during this time.

Sergey Brin
Sergey Mikhaylovich Brin (Russian: ; born August 21, 1973) is
a Russian-born American computer scientist and internet entrepreneur who, together with Larry
Page, co-founded Google, one of the world's most profitable Internet companies. According to
Hurun Global Rich List 2015 he is jointly one of three people listed as 18th richest in the world
(21 overall) with a net worth of US$30 billion.
Brin immigrated to the United States with his family from the Soviet Union at the age of 6. He
earned his bachelor's degree at the University of Maryland, following in his father's and
grandfather's footsteps by studying mathematics, as well as computer science. After graduation,
he moved to Stanford University to acquire a PhD in computer science. There he met Page, with
whom he later became friends. They crammed their dormitory room with inexpensive computers
and applied Brin's data mining system to build a web search engine. The program became
popular at Stanford and they suspended their PhD studies to start up Google in a rented garage.
Brin was born in Moscow in the Soviet Union, to Russian Jewish parents, Mikhail and Yevgenia
Brin, both graduates of Moscow State University. His father is a mathematics professor at
the University of Maryland, and his mother a researcher at NASA's Goddard Space Flight
Center.
In 1979, when Brin was six years old, his family felt compelled to emigrate to the United States.
In an interview with Mark Malseed, co-author of The Google Story, Sergey's father explains how
he was "forced to abandon his dream of becoming an astronomer even before he reached
college". Michael Brin claims Communist Party heads barred Jews from upper professional
ranks by denying them entry to universities, and that Jews were excluded from
the physics departments in particular. Michael Brin therefore changed his major to mathematics
where he received nearly straight A's. He said, "Nobody would even consider me for graduate
school because I was Jewish." According to Brin, at Moscow State University, Jews were
required to take their entrance exams in different rooms from non-Jewish applicants and they
were marked on a harsher scale.
The Brin family lived in a three-room apartment in central Moscow, which they also shared with
Sergey's paternal grandmother. Brin told Malseed, "I've known for a long time that my father

wasn't able to pursue the career he wanted", but Brin only picked up the details years later after
they had settled in the United States. In 1977, after his father returned from a mathematics
conference in Warsaw, Poland, Michael Brin announced that it was time for the family to
emigrate. "We cannot stay here anymore", he told his wife and mother. At the conference, he was
able to "mingle freely with colleagues from the United States, France, England and Germany and
discovered that his intellectual brethren in the West were not 'monsters.'" He added, "I was the
only one in the family who decided it was really important to leave."
Sergey's mother was less willing to leave their home in Moscow, where they had spent their
entire lives. Malseed writes, "For Genia, the decision ultimately came down to Sergey. While her
husband admits he was thinking as much about his own future as his son's, for her, 'it was 80/20'
about Sergey." They formally applied for their exit visa in September 1978, and as a result his
father was "promptly fired". For related reasons, his mother also had to leave her job. For the
next eight months, without any steady income, they were forced to take on temporary jobs as
they waited, afraid their request would be denied as it was for many refuseniks. During this time
his parents shared responsibility for looking after him and his father taught himself computer
programming. In May 1979, they were granted their official exit visas and were allowed to leave
the country. At an interview in October 2000, Brin said, "I know the hard times that my parents
went through there and am very thankful that I was brought to the States."
In the summer of 1990, a few weeks before his 17th birthday, his father led a group of high
school math students, including Sergey, on a two-week exchange program to the Soviet Union.
His roommate on the trip was future CMU computer science professor John Stamper. As Brin
recalls, the trip awakened his childhood fear of authority and he remembered that "his first
impulse on confronting Soviet oppression had been to throw pebbles at a police car". Malseed
adds, "On the second day of the trip, while the group toured a sanatorium in the countryside near
Moscow, Brin took his father aside, looked him in the eye and said, 'Thank you for taking us all
out of Russia.'"
Brin attended elementary school at Paint Branch Montessori School in Adelphi, Maryland, but
he received further education at home; his father, a professor in the department of mathematics at
the University of Maryland, encouraged him to learn mathematics and his family helped him
retain his Russian-language skills. He attended Eleanor Roosevelt High School in Greenbelt,

Maryland. In September 1990 Brin enrolled in the University of Maryland to study computer
science and mathematics, where he received his Bachelor of Science in May 1993 with honors.
Brin began his graduate study in computer science at Stanford University on a graduate
fellowship from the National Science Foundation. In 1993, he interned at Wolfram Research,
who were the developers of Mathematica. As of 2008, he is on leave from his PhD studies at
Stanford.

Chapter 6 History and Growth of Google

Beginning
Google began in March 1995 as a research project by Larry Page and Sergey Brin, Ph.D.
students at Stanford University.
In search of a dissertation theme, Page had been consideringamong other thingsexploring
the mathematical properties of the World Wide Web, understanding its link structure as a
huge graph. His supervisor, Terry Winograd, encouraged him to pick this idea (which Page later
recalled as "the best advice I ever got") and Page focused on the problem of finding out which
web pages link to a given page, based on the consideration that the number and nature of such
backlinks was valuable information for an analysis of that page (with the role
of citations in academic publishing in mind).
In his research project, nicknamed "BackRub", Page was soon joined by Brin, who was
supported by a National Science Foundation Graduate Fellowship. Brin was already a close
friend, whom Page had first met in the summer of 1995Page was part of a group of potential
new students that Brin had volunteered to show around the campus. Both Brin and Page were
working on the Stanford Digital Library Project (SDLP). The SDLP's goal was to develop the
enabling technologies for a single, integrated and universal digital library" and it was funded
through the National Science Foundation, among other federal agencies.
Page's web crawler began exploring the web in March 1996, with Page's own Stanford home
page serving as the only starting point. To convert the backlink data that it gathered for a given
web page into a measure of importance, Brin and Page developed
the PageRank algorithm. While analyzing BackRub's outputwhich, for a given URL, consisted
of a list of backlinks ranked by importancethe pair realized that a search engine based on
PageRank would produce better results than existing techniques (existing search engines at the
time essentially ranked results according to how many times the search term appeared on a
page).

Convinced that the pages with the most links to them from other highly relevant Web pages must
be the most relevant pages associated with the search, Page and Brin tested their thesis as part of
their studies, and laid the foundation for their search engine
BackRub is written in Java and Python and runs on several Sun Ultras and Intel Pentiums
running Linux. The primary database is kept on a Sun Ultra II with 28GB of disk. Scott Hassan
and Alan Steremberg have provided a great deal of very talented implementation help. Sergey
Brin has also been very involved and deserves many thanks.

Late 1990s
Originally the search engine used Stanford's website with the domain google.stanford.edu. The
domain google.com was registered on September 15, 1997. They formally incorporated their
company, Google, on September 4, 1998 at a friend's (Susan Wojcicki) garage in Menlo Park,
California.
The first patent filed under the name "Google Inc." was filed on August 31, 1999. This patent,
filed by Siu-Leong Iu, Malcom Davis, Hui Luo, Yun-Ting Lin, Guillaume Mercier, and Kobad
Bugwadia, is titled "Watermarking system and methodology for digital multimedia content" and
is the earliest patent filing under the assignee name "Google Inc."
Both Brin and Page had been against using advertising pop-ups in a search engine, or an
"advertising funded search engines" model, and they wrote a research paper in 1998 on the topic
while still students. They changed their minds early on and allowed simple text ads.
By the end of 1998, Google had an index of about 60 million pages. The home page was still
marked "BETA", but an article in Salon.com already argued that Google's search results were
better than those of competitors like Hotbot or Excite.com, and praised it for being more
technologically innovative than the overloaded portal sites (like Yahoo!, Excite.com, Lycos,
Netscape's Netcenter, AOL.com, Go.com and MSN.com) which at that time, during the
growing dot-com bubble, were seen as "the future of the Web", especially by stock market
investors.
In March 1999, the company moved into offices at 165 University Avenue in Palo Alto, home to
several other noted Silicon Valley technology startups. After quickly outgrowing two other sites,

the company leased a complex of buildings in Mountain View at 1600 Amphitheatre Parkway
from Silicon Graphics (SGI) in 2003. The company has remained at this location ever since, and
the complex has since become known as the Googleplex (a play on the word googolplex, a
number that is equal to 1 followed by a googol of zeros). In 2006, Google bought the property
from SGI for US$319 million.

2000s
The Google search engine attracted a loyal following among the growing number of Internet
users, who liked its simple design. In 2000, Google began selling advertisements associated with
search keywords. The ads were text-based to maintain an uncluttered page design and to
maximize page loading speed. Keywords were sold based on a combination of price bid and
click-through, with bidding starting at $.05 per click. This model of selling keyword advertising
was pioneered by Goto.com (later renamed Overture Services, before being acquired
by Yahoo! and rebranded as Yahoo! Search Marketing). While many of its dot-com rivals failed
in the new Internet marketplace, Google quietly rose in stature while generating revenue.
Google's declared code of conduct is "Don't be evil", a phrase which they went so far as to
include in their prospectus (aka "S-1") for their 2004 IPO, noting that "We believe strongly that
in the long term, we will be better servedas shareholders and in all other waysby a company
that does good things for the world even if we forgo some short term gains."

2003
In February 2003, Google acquired Pyra Labs, owner of Blogger, a web log hosting website. The
acquisition secured the company's competitive ability to use information gleaned from blog
postings to improve the speed and relevance of articles contained in a companion product to the
search engine Google News.

2004
At its peak in early 2004, Google handled upwards of 84.7% of all search requests on the World
Wide Web through its website and through its partnerships with other Internet clients like
Yahoo!, AOL, and CNN. In February 2004, Yahoo! dropped its partnership with Google,
providing an independent search engine of its own. This cost Google some market share, yet
Yahoo!'s move highlighted Google's own distinctiveness, and today the verb "to google" has

entered a number of languages (first as a slang verb and now as a standard word), meaning "to
perform a web search" (a possible indication of "Google" becoming a genericized trademark).
After the IPO, Google's stock market capitalization rose greatly and the stock price more than
quadrupled. On August 19, 2004 the number of shares outstanding was 172.85 million while the
"free float" was 19.60 million (which makes 89% held by insiders). In January 2005 the number
of shares outstanding was up 100 million to 273.42 million, 53% of that was held by insiders,
which made the float 127.70 million (up 110 million shares from the first trading day).} The two
founders were said to hold almost 30% of the outstanding shares. The actual voting power of the
insiders was much higher, as Google has a dual class stock structure in which each Class B share
gets ten votes compared to each Class A share getting one. Page says in the prospectus that
Google has "a dual class structure that is biased toward stability and independence and that
requires investors to bet on the team, especially Sergey and me." The company had not reported
any treasury stock holdings as of the Q3 2004 report.

2005
On June 1, 2005, Google shares gained nearly four percent after Credit Suisse First Boston raised
its price target on the stock to $350. On that same day, rumors circulated in the financial
community that Google would soon be included in the S&P 500. When companies are first listed
on the S&P 500 they typically experience a bump in share price due to rapid accumulation of the
stock within index funds that track the S&P 500. Google was not added to the S&P 500 until
2006. Nevertheless, on June 7, 2005, Google was valued at nearly $52 billion, making it one of
the world's biggest media companies by stock market value.
On August 18, 2005 (one year after the initial IPO), Google announced that it would sell
14,159,265 (another mathematical reference as 3.14159265) more shares of its stock to raise
money. The move would double Google's cash stockpile to $7 billion. Google said it would use
the money for "acquisitions of complementary businesses, technologies or other assets".
On September 28, 2005, Google announced a long-term research partnership with NASA which
would involve Google building a 1,000,000-square-foot (93,000 m2) R&D center at
NASA's Ames Research Center, and on December 31, 2005 Time Warner's AOL unit and Google
unveiled an expanded partnershipsee Partnerships below.

Additionally in 2005, Google formed a partnership with Sun Microsystems to help share and
distribute each other's technologies. As part of the partnership Google will hire employees to
help in the open source office program OpenOffice.org.
With Google's increased size came more competition from large mainstream technology
companies. One such example is the rivalry between Microsoft and Google. Microsoft had been
touting its Bing search engine to counter Google's competitive position. Furthermore, the two
companies are increasingly offering overlapping services, such as webmail (Gmail vs. Hotmail),
search (both online and local desktop searching), and other applications (for example,
Microsoft's Windows Live Local competes with Google Earth). In addition to an Internet
Explorer replacement Google designed its own Linux-based operating system called Chrome OS
to directly compete with Microsoft Windows. There were also rumors of a Google web browser,
fueled much by the fact that Google is the owner of the domain name "gbrowser.com". These
were later proven when Google released Google Chrome. This corporate feud boiled over into
the courts when Kai-Fu Lee, a former vice-president of Microsoft, quit Microsoft to work for
Google. Microsoft sued to stop his move by citing Lee's non-compete contract (he had access to
much sensitive information regarding Microsoft's plans in China). Google and Microsoft reached
a settlement out of court on December 22, 2005, the terms of which are confidential.
Click fraud also became a growing problem for Google's business strategy. Google's CFO
George Reyes said in a December 2004 investor conference that "something has to be done about
this really, really quickly, because I think, potentially, it threatens our business model."

2006
While the company's primary market is in the web content arena, Google has experimented with
other markets, such as radio and print publications. On January 17, 2006, Google announced that
it had purchased the radio advertising company dMarc, which provides an automated system that
allows companies to advertise on the radio. Google also began an experiment in selling
advertisements from its advertisers in offline newspapers and magazines, with select
advertisements in the Chicago Sun-Times.
During the third quarter 2005 Google Conference Call, Eric Schmidt said, "We don't do the same
thing as everyone else does. And so if you try to predict our product strategy by simply saying

well so and so has this and Google will do the same thing, it's almost always the wrong answer.
We look at markets as they exist and we assume they are pretty well served by their existing
players. We try to see new problems and new markets using the technology that others use and
we build."
After months of speculation, Google was added to the Standard & Poor's 500 index (S&P 500)
on March 31, 2006.[41] Google replaced Burlington Resources, a major oil producer based
in Houston that had been acquired by ConocoPhillips. The day after the announcement Google's
share price rose by 7%.

2014
As of November 2014, Google operates over 70 offices in more than 41 countries.

Chapter 7 Future of Google, Conclusion

Google Plans For the Future As you know, Google is not only a search engine: The company is a
world leader in the creation of gadgets, internet services, and more. The most curious
development team is engaged in a secret Google X, and among their projects and airships that
distribute wireless Internet and the development of next-generation drugs, but this is just the tip
of the iceberg, here are 10 ideas that the Internet giant seeks to bring to life.

1. Car without a driver will make road traffic safer

Experts of Google X for several years working on the project Driverless Car
Program. Negotiations are underway with the authorities for permission to test the self-governing
vehicles on public roads as long as this agreement only states of California and Nevada. A fleet
of ten vehicles with test systems allow run over more than 480 thousand km (as of August of
2012), and of course, tests are continuing. However, it is unclear when such a system will be
commercially available.

2. Google Glass will change the way you think about gadgets
Having put on those glasses, you can forget about the screens of smartphones and computers the
right information will always be available in only one eye movements. One way to look up and
before you calendar, email, social networks, weather, in general, everything that you
want. Google Glass makes a revolutionary technology available to a wide range of people so far
only a few lucky people, mostly developers and journalists were able to get a working prototype
of points, but the consumers opportunity arises next year.

3. Smart House according to Google

The technology, called Android @ Home, will fully automate all of the life support system by
connecting to the Internet, for example, while you are not home, a refrigerator will be able to
order the necessary products itself, and coffee maker to make coffee exactly to your
arrival. Android @ Home will connect all electrical appliances in the house, from microwave
and finishing with light bulbs, one control system, but Google still does not cover all possible
future developments.

4. Space elevator
According to published in the journal Time information Google X team in 2011, the year
included the idea of a space elevator in the so-called list of What if . I must say, the very
concept of this method of delivery to the orbit of people and goods put forward by K.
Tsiolkovsky in 1895, the year. Do not wait for Googles early implementation of this idea the
development of lift into orbit, presents many technical challenges, and all the more likely to
say that to implement this idea in life is impossible. However, its probably Google thus cover
their tracks to save the process of developing a secret.

5. Watch a smartphone based on Android

Recently, it was reported that Google is preparing a direct competitor iWatch from Apple a
watch, combined with the smartphone: of course, watches SmartWatch smartphone from Google
will use the operating system Android. This latest must have new to the gadget lovers will be
available early next year.

6. Google will take care of your health

The Internet giant has a stake in the company Adimab, engaged in the development of
diagnostics and treatment of various diseases, which would bring a variety of technologies and
methods to combat diseases. The revolutionary idea is the invention of miniature sensors
involved in the search and optimization of antibodies produced by the body to start treatment
only need to swallow such a sensor. Another development in the field of Google Health is a
subsidiary of iPierian, creating the technology of cellular reprogramming (cellular
reprogramming), which will fight the disease by modifying cells.

7. Internet airships cover the entire planet wireless

Googles ambitions as a provider of Internet reached all-time highs the company is developing
airships that will provide wireless connectivity the entire planet, including remote regions in
Africa and other parts of the Earth. If the project is realized, the world wide web will get about
another 1 billion people mostly residents of the third world.

8. Game console based on Android

The popularity of the Android platform is growing all over the world, and Google is seeking to
use its potential to the maximum. Wall Street Journal spoke about the development of the
gaming console from Google, which is designed to be a killer similar technology Yabloko
Apple TV: game console from Google allows you to run any Android-games directly on your
home television.

9. The way Google determines the development of smart phones

Motorola Buy Google of Motorola Mobility (transaction was $ 12.5 billion) to become the owner
of the first allowed 24.5 thousand patents and designs. Under the wing of the Internet giant will
release a smartphone Motorola Moto X based on Android, which has all the modern features and
characteristics, as well as, of course, a number of trendy chips, which has no rivals release
date already quite close.

10. Eco-friendly sources of energy

The company Makani Power developer of advanced technologies in the use of wind and solar
energy: Google previously invested in the company a lot of money, and recently acquired in its
entirety and included in the project, which deals with Google X. The best-known development
Makani Power wind turbines, hovering at an altitude of almost 300 m to 650 m-minute and
allow to generate electricity out of thin air.

Chapter 8 Bibliography

Google.com
Wikipedia.com
Businessinsider.com
GQMen.com
GQ.com
Forbes.com