A newcomer is currently the most valuable company in the world. After years of being on top of the rankings, Apple has just been dethroned by Alphabet. In case you didn't know or are still confused, Alphabet is Google's parent company. Didn't know Google has one? Well, the tech giant created a holding venture August last year. It's a new American multinational conglomerate that owns several umbrella companies including Google.
Simply put, it's not another division but it's totally a new company the Google execs formed to better manage the businesses other than the Google which really started as an Internet company. Thing is, Google expanded into more than just search engine, email, and mobile. There are life sciences now, broadband services, and Nest Labs among others. This move is to make the Google internet services "cleaner" now and easier to manage so when you say Google, it should only mean the internet service.
Under Alphabet are subsidiaries like Nest Labs, Google Fiber, Google Captital, X, GV, Calico, and Verily as the life sciences arm. It's a reorganization of some sort that even Google stock have been converted to Alphabet. Larry Page is CEO of Alphabet. Serving as President is Sergey Brin, Page's co-founder. Meanwhile, Google as we all know, has Sundar Pichai as CEO.
Hours after Alphabet announced its Fourth Quarter and Fiscal Year 2015 Results, its ranking went up with a $570 billion value compared to Apple's $540 billion. Value of company stock increased up to 10 percent, about $8.67 per share. The earnings are categorized into two: Google and rest of the businesses like Venture, Capital, X Lab, and Google Fiber.
Alphabet's CFO Ruth Porat shared:
"Our very strong revenue growth in Q4 reflects the vibrancy of our business, driven by mobile search as well as YouTube and programmatic advertising, all areas in which we've been investing for many years. We're excited about the opportunities we have across Google and Other Bets to use technology to improve the lives of billions of people."
That's it. Alphabet is now the most valuable company in the world.