Goooooooogle

Tell me something I don’t know. I am lost and don’t know where to go. Help me to connect with my different groups of friends separately. Help me set up an easy to use and business appropriate email. Show me pictures of the people and places I ask you to show me. Keep me up to date with the news. Translate this document for me. Help me create and organize my documents and allow me to access them anytime. Let me search and watch millions of videos online. Give me a browser that is faster, safer, and easier. Show me the Earth from a satellite. Analyze my ROI and help me track my social networking and advertisement success. Allow me to access the most up-to-date stock market news and handle my investment portfolios. Let me see the world through a new lens, with glasses that can help me to organize and live my life.

I googled: google.com, and the above programs came up in the first two result pages. I googled google.com because that was

Image representing Google as depicted in Crunc...

Image via CrunchBase

their original function; that was their comparative advantage (what they did better than anyone else). Until they’re fixed costs dwindled to almost nothing and their revenues increased exponentially. Then they started funding innovation, creating one of the largest R&D departments. Now Google is a prefix for their programs, such as maps, plus, mail, images, news, translate, docs, earth, finance, etc.

 

Although we learned about Google’s revenue/market strategy in class, they are not alone atop Technology Hill. By enveloping smaller, less capable (less funded) companies, four top companies have taken over the technology world, according to the Economist: Apple, Google, Amazon, and Facebook. (Sorry Microsoft)

 

http://www.economist.com/news/21567361-google-apple-facebook-and-amazon-are-each-others-throats-all-sorts-ways-another-game

 

This elite upper-echelonism (not a word) of the technology world has the potential to be either beneficial or detrimental to the future of technology. The emergence of elite companies, believe it or not, may lead to exponentially more exponential growth. What I mean by that is, all the tech-savvy, brilliant people of the world will look for jobs with these elite firms. By consolidating talent and pooling together brainpower between Apple, Google, Amazon, and Facebook, innovation will have room to flourish, along with the advancement of new industries/developments. That was the plus side.

 

The down side is the possible monopolization of money and power at the top of these 4 firms. If these firms ever negotiated terms with each other, they would be able to design a monopolistic competitive market that hurts the wallet of the average citizen. Also, this would make it very difficult for a small, innovating firm to succeed in technology. What most likely will happen is one of the top companies swallowing up the up and comer (see Facebook to Instagram).

 

But who knows what will come? It’s like kids in the late 80s, early 90s worrying about the latest boom box technology. We think we know what we will have to worry about, but we don’t. We can’t even imagine.

 

 

 

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6 thoughts on “Goooooooogle

  1. Very interesting post. I really like how you tried to shed light on the idea that a few businesses will dominate the technology industry in coming years. I liked how you differentiated these companies and emphasized the fact that they will not have a negative effect that we have seen from monopolies in the past. Companies like apple google and amazon have products in similar markets i believe that you are right in saying that the exponential growth of technology will only be aided this development. Also to your point the ability for these companies to buy out up and comers will allow far more innovative ideas to come into fruition with funds they would not have had access to if they weren’t bout out by these big companies. Great Post!

  2. I think the downside to the centralization of the technology industry is something to pay really close attention to. I think it is dangerous for a few companies to have all of the power. Its going to impact us. They are going to have a lot of control over what we are buying and engaging in. I think this takes away from other people being able to come up with new fresh ideas. Also, are they going to be accountable if they don’t have serious competition. How is this centralization impacting the economy? Will this lead to more inequality and poverty. Good post! Thanks for sharing!

  3. I believe the centralization of technologies is not unnecessarily be a bad thing. I particularly think that if a group of really intelligent, technologically gifted people worked as a group it might benefit us more as a consumer. We talked in class about that the group in general will perform far better than the smartest of individual, perhaps the centralization is doing just this, pushing us forward at an even faster pace. I think there will be even more government regulations being implemented as the society become more and more technological based, so I don’t think there will be partnership being manifested that can harm the consumer. I think the centralization will hurt more to those start up companies because they will have big companies competing with them.

  4. I totally agree with you that a few technology companies such as Facebook and Apple will end up buying many up and coming companies, and thus creating a stranglehold on the industry. But who knows, maybe there will be a new technology that changes the game and causes the companies you mentioned to become insignificant. The fact that technology is growing exponentially makes it almost impossible to guess what the industry will be like in even a few years. This was an awesome blog post.

  5. Great post, you did a really good job of looking at both sides of this issue. I agree with you that it could be potentially dangerous if the companies formed a monopoly because it would definitely out a dent in our wallets. However, I don’t necessarily see the four of them combining in the near future. I do agree though that those companies will buy new up and coming businesses like Facebook did with Instagram. That could work out for the small companies though because they will be able to expand and have so many resources that wouldn’t be available to them if they were on their own.

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