Are We At Peak Google? A Change In Management Is Overdue


  • Google’s management has failed to diversify beyond Search, with Amazon surpassing Google in Cloud and Advertising. Amazon’s Ad business is now 50% larger than YouTube’s.
  • Google Search is the company’s moat, but its quality is deteriorating, according to me and many people. SEO-optimized, AI-written articles are disrupting the user experience.
  • GOOG is playing catch-up in AI, with the rollout of “AI Overview” resulting in a PR nightmare. In my view, this shows that management is not in control.
  • I rate the stock a HOLD because of its profitability and because Google did manage to roll out successful products, such as Android or Chrome, but not to monetize them properly.
  • A management change could be the catalyst that allows Google to finally diversify its business model and reduce the risk posed by AI.

SEO Diagram

Bill Oxford/E+ via Getty Images

Thesis: Google is a profitable cash cow, but management is running out of ideas, putting the company at risk of losing its moat


Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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