Google Inc. will become part of a business consortium called Alphabet

The founders of Internet giant created a business group that will bring together the search engine and other companies in the technology firm!

Google Inc. will become part of a business consortium called Alphabet result of a reorganization of its corporate structure. Such a group , which will be created by the founders of the company's Mountain View, umbrella will all the companies it owns the technology firm under which Google will be the largest division. In addition, 'Alphabet' is the name by which the Internet giant will operate on the stock market, as announced by the current CEO of Google, Larry Page in a statement .

"What is Alphabet? Alphabet mostly is a group of companies, the largest of which will, of course, Google , "wrote Page, who lead the company as CEO along with Sergey Brin, who will assume the position of president . The head of Android, Chrome and Google Apps, Sunday Pichai, will become the CEO of Google.

"To Sergey and me this is an exciting new chapter in the life of Google : the birth of Alphabet "has confided the current CEO of Google in the company blog. "We have called so because we mean a set of letters representing the language, one of the most important innovations of humanity, and is the core of the Google search indexing (...) The aim is that companies Alphabet are independent and can develop their own brands, "he added.

The technology giant will change its corporate structure to better manage and market their products and R & D divisions. Alphabet will henceforth encompass the matrix to Google as a search engine, parent company of the new conglomerate to generate annual revenues of 60,000 million dollars . The intention behind the founding of Alphabet is placed in a more independent structure companies Google as capital investment division Google Ventures, Google or subsidiaries Capital research and development as Google X.

"We believe this gives us greater entrepreneurial freedom to independently manage things that have little to do with each other" as the divisions Life Sciences, which is developing a smart contact lenses , Calico or a company that researches on longevity .

With these changes Page and Brin pass formally adopt more strategic roles within the company. Google chairman Eric Schmidt will become executive president of Alphabet.

The Securities and Exchange Commission USA (SEC) has been informed of this reorganization. Alphabet trade under the existing stock code GOOGL and GOOG, but Google results will be reported as part of the new organization. "Alphabet Inc. will replace Google Inc. and Google all shares will be automatically converted into an equal number of shares of Alphabet, with equal rights," he clarified Page, who added: "Google is a wholly owned subsidiary of Alphabet".

After the announcement, made after the close of Wall Street, shares of the company in the electronic market rose 5.41% to $ 699 the title.