Google Moves From Search To Inventor

TubHarsh writes "The New York Times reports that Google continues to expand its scope from search engine to inventor. Google assembles the majority of the hardware it uses and deploys at such a large scale, that Google may be 'the world's fourth-largest maker of computer servers, after Dell, Hewlett-Packard and I.B.M.'. The article also states that Google may be entering the chip design market with new employees who were ex-Alpha Chip engineers."

Comments

Silicon? Yes. CPUs? Maybe.

[TheRaven64]

One of the advantages of the Opteron platform, as we saw recently, is that it is easy to plug in dedicated, specialised, coprocessors. I wouldn't be at all surprised if a lot of Google's work could be done more efficiently on a specialised stream processor; even things like SSL for gmail etc. run a lot faster (and much faster-per-watt, which is what really counts in an operation that scale) on dedicated silicon than on a general purpose CPU.

Much as I'd like to see the Alpha return, backed by Google (or pretty much anyone else. The death of PALCode was a sad day for the industry), it doesn't seem likely. The Alpha approach was to build the fastest chip possible; in terms of performance-per-watt or performance-per-dollar, it didn't do so well.

Owning the supply chain

[192939495969798999]

I don't think we should think of this as a move that Google may 'sell' the machines they make, aside from selling Google search or app appliances one day. The vast majority of chips they would be making are probably to 'own the supply chain' for their own massive server systems. This is similar in concept to the early Ford Motor Company that owned the steel mills, etc. Google just wants the lowest net cost per computing cycle, and if Dell wants to earn a profit selling them computers in bulk, it might be cheaper for Google to bring that profit in-house.

Technology Incubator

[Ohreally_factor]

I think they're just throwing stuff at the wall and seeing what sticks, much like VCs do. But their doing it all in-house, hoping to come up with the next big thing. And the thing after that.

Investing that pile of cash

[Jeppe Salvesen]

Google appear to be investing their pile of cash in a very interesting way: They encourage their engineers to spend 20 percent of their time on unrelated work. Since they have some really bright heads in their workforce, they can be said to re-investing their pile of cash into ideas formed by their own employees. You know - all those half-baked, half-related ideas you get when you work on a project: They actually give you time and resources to refine and pursue them. And guess what - some of them turn out to be viable business ideas for the company. So, from a human-resources point-of-view, it's a stroke of genious. They realize more of the potential within their work-force.

They also probably reduce thebrain-drain of their talented employees - since working on Google must be very, very rewarding for someone with an imaginative mind but not a lot of organizational know-how.

Re:This kind of thing that keeps us loving google

[LWATCDR]

Umm....
Hey I like Google and I do think it is a good company but please throw in a few facts along with the extreme cheering.
1. They make a ton of money. I.E. profits from advertising. I will admit that it is some of the least offensive advertising in the planet but they are ads none the less.
2. Their search engine is closed source. Yep you got it baby cakes every bit as closed source as Microsoft Office and Windows.
3. China.

As I said, I like Google. I would work for them if they offered me a job. They are not perfect and frankly we are not their customers! We are no more their customers than wheat is a farmers customers. They harvest us and sell us to their advertisers. The people that buy Google ads are Google's customers.
We are Google's product.

Re:That Link You Ordered, Sir

[70Bang]

Microsoft won't change their stance on Google.

I've said many times [that] Microsoft's strategy (so far) has been to keep Google labelled a search engine, and only a search engine, (albeit covertly) as long as possible to keep Google hemmed in and avoid letting people begin to see what's up Google's shirt sleeves. This has been a stall tactic. Microsoft has got to have a lot of gerbils running on the wheels to come up with ways to find the silver bullet to put right between Google's eyes. Do they think they'll find it? Probably. Will they? Probably not. Should they be scared? Yes.

I don't think it's worked, but it's the only tactic Microsoft knows. After all, their primary arsenal has always been Huey, Dewey and Louie (Marketing, Sales, and PR). When Microsoft runs out of arrows in its quiver, it'll become the one thing it has thought would never happen: become just another company, just as IBM became when Microsoft didn't renew their contract ('89? '90?)for a joint OS and it became Windows & OS/2. IBM just wasn't able to get the sell-through Microsoft got with Windows, and Microsoft was the new king of the mountain.

What's hurting Microsoft isn't they came late to the show (avoided during the most infamous "Summer of Bill" but they've had to grow from the desktop up to a global perspective, but that Google hasn't even worried about the desktop (so far). They got started at the global level and just focused upon information management, leaving a browser, essentially any browser, as the interface. I see it to be what happened to Encyclopædia Britannica when everything was electronic and they were left thinking about their next hardcopy print run, then trying to get an electronic format (and people buying CDs and DVDs) vs. something such as Wikipedia which started online.

I'm not saying every company or product which starts online will always be better, but the odds are against a hard world company|product being able to prevent or leapfrog a company which doesn't have to worry about a bridge from the past to the future and not lose sight of both balls in the air.

Another good example is BlockBuster and Netflix. Blockbuster's underlying algorithm (business model) was based upon late return fees. NetFlix comes along such that brick & mortar means nothing, reducing all of the financial obligations which go along with it, including a dependence upon those late fees. BlockBuster suddenly realized they were getting dusted in all but impulse rentals and had to do something. First, they tried to pull a fast one over everyones' eyes by declaring "no late fees" whilst slipping a hand into your wallet. When they got caught, they realized they'd better do something...and fast. So they picked the most successful video rental business model they could find on short notice: NetFlix. Just a price war.

Lots of other stories could be listed as well (e.g., Amazon vs. B&N, Border's, etc.)