Thursday, October 15, 2009

How can Google cut costs?

Google is not going anywhere.

The story in the New Yorker criticized Google for being a company that is not necessarily well-managed. And it said that Google's only revenue comes from their search engine. I don't see a problem with that. Obviously, management is important, but their revenue has nowhere to go but up.

The article also pointed out that Google will never make money with YouTube because of high storage cost. Well, part of that high cost is the energy bill. Here's what Google has to say about that: Google planning on moving some of its data centers to international waters?

The company wants to use the cold ocean water to cool its servers. It will be a high cost to build, but it is a green effort to save energy costs. I only see that helping.

I just can't fathom a mammoth company like Google going away. They will continue to innovate with ideas like Gmail — which only made e-mail better — and the Android phone, which is set to pass the iPhone as the second most popular phone on the market within a few years.

Get used to it. Google is here to stay.

2 comments:

  1. I agree with you when you say Google is here to stay. Obviously it is too big to ever disappear completely (it has built its place in history)

    But, like the article we read mentioned, their business structure is chaotic. I would hate to see another search engine blaze ahead of Google if Google's chaos structure ever failed the company.

    I want to live on Google Island when they expand to international waters. Just saying.

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  2. I agree with both of you. Google will never go anywhere. They have made too much of an imprint in the internet industry and I expect that to grow. However, finding ways to streamline their product would probably make the company more cost effective in the long run. Maybe the ocean water idea is a step in the right direction. Certainly fits with their whole identity of being industry leaders of forward thinking.

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