1. Team Dodgers Spring 2008

2. Agenda History Industry Overview Business Model Sources of Competitive Advantage Challenges Initiatives Recommendations

3. History 1996 - Started by Sergey Brin and Larry Page 1997 - Named “Google” 1998 - Presented its discovery at the World Wide Web Conference 1999 - Raised almost $30 million in funding 2004 - Went public - 19,605,052 shares offered at $85 per share - Raised $1.6 billion 2004 - Launch of its Orkut product 2006 - Most expensive purchase of its history - $1.65 billion purchase of online video-sharing site YouTube

4. History Sergey Brin – former company’s chairman  the president of technology Larry Page – former CEO of Google  president of product Eric Schmidt – hired in 2001 as Google’s new CEO

5. Industry Overview Key players –Yahoo! –MSN –AOL

6. Industry Overview Key success factors –Paid listings –Cost per click model

8. Industry Overview Network Effect

9. Business Model Core businesses – sponsored search engine services and advertising Related diversification –All businesses are linked and in the search industry

10. Selected Services

11. Sources of Competitive Advantage Organizational Structure and Structure –Dual-Class Equity Structure Designed for stability over the long term Supports Google’s innovative approach to business

12. Sources of Competitive Advantage Corporate Values –Philosophy, Ten Golden Rules –Managing Innovation

13. Challenges Manage uncertainty through diversification –Young, evolving industry Threat of consolidations

14. Initiatives Web search –To maintain the “network effect” New search domains –Google Knol –Android

15. Recommendations Free Wi-Fi throughout metropolitan areas Continue focusing on innovation

16. Questions?