Joe Duck

Google Gorg replacing Microsoft Borg? Don’t be P/E vil?

Chris “Factory Joe” Messina of Flock has a provocative post about how Google is …. continuing to take over the internet world.

Although I’m more concerned about the virtual monopoly on search rather than Google’s assualt on Microsoft’s virtual monopoly on operating systems and office applications, everybody is well served to start thinking, as Voltaire sort of suggested hundreds of years ago “Is an all-Google world the best of all possible worlds?”

The answer, of course, is NO. Google’s brought great stuff and should keep on bringing great stuff. Google’s been rewarded with almost unimaginable riches and that’s fine. It may even be true that the Google juggernaut has some juggernauting to do before it needs to be brought in check. Sometimes it’s great to let super clever people just run with things until they run out of steam.

But like Chris I think it’s now clear that stock prices and commercial considerations have considerable influence on Google and their decisions and operations. You don’t have to think Google is running around intentionally doing monopolistic things to worry that if the going gets tougher and they no longer have so much of the search market and are fighting to maintain the stock Price Earnings ratios and options values the “don’t be evil” mantra may be interpreted more as “don’t be P/Evil-keep Google on top”! Wait. I think that Mantra change is already under way.

Google is a great company, but as Chris suggests that doesn’t mean we should stop keeping our eyes on them.

Disclaimer: I’m hardly a market mover but should say I do have stock in Google competitor Yahoo and puts on Google because I thought it was overpriced.

October 19, 2006 - Posted by JoeDuck | advertising, blogs, companies, Google, investments, microsoft, search, Web 2.0, Websites, yahoo