Google creates new company, appoints Sundar Pichai as CEO
Google has announced major changes to management responsibilities as the company splits its search, YouTube and some other web entities from its research and investment units.
In a blog post on Monday, CEO Larry Page said Google is creating a new holding company called Alphabet, which will include the search unit, YouTube, Android and other Web-based products.
Among the other business units to be grouped within Alphabet will be Life Science, Calico and Google X, which both focus on R&D for the search giant; Google Ventures; and Google Capital.
“Google is not a conventional company. We do not intend to become one,” Page said in the blog post, reciting the message he and co-founder Sergey Brin wrote 11 years ago.
As part of the restructuring, Page will take the helm as chief executive of Alphabet, while Brin will serve as president.
Google chief financial officer Ruth Porat, who joined the search giant in March, will retain that title and former chief executive Eric Schmidt will be executive chairman.
Android SVP Sundar Pichai has climbed the corporate ladder to become CEO of Google, reporting to Page and Brin.
“Sundar has been saying the things I would have said (and sometimes better!) for quite some time now, and I’ve been tremendously enjoying our work together,” Page wrote in the blog post.
“Sergey and I have been super excited about his progress and dedication to the company. And it is clear to us and our board that it is time for Sundar to be CEO of Google.”
Alphabet Inc. will replace Google Inc. as the publicly-traded entity and all shares of Google will automatically convert into the same number of shares of Alphabet, with all of the same rights.
Google will become a wholly-owned subsidiary of Alphabet. The company’s two classes of shares will continue to trade on Nasdaq as GOOGL and GOOG, Page noted.
“Our company is operating well today, but we think we can make it cleaner and more accountable,” Page said.
“This new structure will allow us to keep tremendous focus on the extraordinary opportunities we have inside of Google.”
Retired Telstra CEO David Thodey to chair CSIRO
Former Telstra chief executive Daivd Thodey will take up the role of chairman of the CSIRO, effective from November.
Thodey, who retired from his position at Telstra earlier this year, will take up a five-year tenure at the Australian national science agency.
Thodey said he was honored to have been asked to contribute to the future of Australia’s national science agency, the CSIRO.
“As a nation, have an important opportunity to collaborate across the research community and industry to improve Australia’s global competitiveness. This is essential for the future of our country,” he said.
“Consistent with the new CSIRO vision, I hope that the CSIRO can be a catalyst for innovation across key focus industries and the wider community. We must make sure that Australia remains a global leader in the areas of science, research and industry innovation.”
The Minister for industry and science Ian Macfarlane said Thodey is one of Australia’s most highly regarded leaders and will bring a wealth of experience with him.
“He will bring a wealth of industry acumen to Australia’s peak science agency as it plays an increasingly central role in maximizing our economic opportunities and industry growth,” Macfarlane said.
Thodey was the CEO of Telstra from May 2009 to April 2015. He played a central role focusing the company on customer service and has been credited with significantly increasing Telstra’s share price and doubling the value of the company.
Before joining Telstra, Thodey had a 22-year career with IBM, working in senior marketing and sales positions, including CEO of IBM Australia/New Zealand.