Differentiators

Philosophy
 If there is better content on the web, internet users are likely to do more searches, and
Google believes, that will be good for users, businesses and for them
 Provide valuable easy-to-fetch content to users by innovative techniques to hide
complexities
 “Software is free for users”
Technology
 Google's innovative query-independent web search technology called PageRank which
fetches content based on 'inter-twined dynamic' voting technique
 Google's unique pattern-matching techniques does more than just count number of times the
search appears like algorithms that analyse relation of search items in the given context for a
user
 Google's state-of-art inhouse data centers that provide substantial computing resources at
low cost
 Owns as many as xxx patents (inc. PageRank) and 20+ trademarks
Products & Services
 Advertising platform for consumers and businesses to come together using AdWords (40+
languages), Google network (inc. online video/radio/tv providers) and Google search
 Google doesn't beleive in dumping ads on users and uses techniques (AdSense) to measure
relevance of ads to particular user
 Easy, fast, target marketing fetches content inventory, ROI, branding, customer info,
campaign control (budget – daily/hourly/per clicks etc.) for businesses
 Google's global support specialists for providing advertisers with data for running successful
ads for a partcular segment/industry
 Development API/framework for intergrating business applications for large size advertisers
 Google Labs is a platform how to leverage from enthusiastic developer commuinity to
enhance its products
 Google's AdSense is revenue platform for content providers while providing value-added
services in the form of ads to its subscribers

Competive Analysis
Google competes to retain its users, content providers and advertisers
 Faces formidable competition from serach engines like Yahoo, AOL and Microsoft's Bing
 Users of sites like Kayak(travel), Monster, Amazon, eBay and many others
 Users of social networking sites
 Users of SP mobile applications instead of seach engines
Google puts significant effort in its sales strategy to counter competition
 Specialized sales team in 30 countries to bring businesses to Google network
 Utilizes Google network for spreading awareness of products, sponsers conferences
comparison with competitors

GOOG
AOL
 YHOO
Market Cap:
153.66B
2.35B
18.86B
Employees:
21,805
6,700
13,900
Qtrly Rev Growth (yoy):
23.50%
­26.20%
1.80%
Revenue (ttm): 
26.21B
2.85B
6.51B
Gross Margin (ttm):
63.55%
42.85%
56.23%
EBITDA (ttm):
10.83B
863.00M
1.33B
Operating Margin (ttm): 
35.89%
17.89%
9.92%
Net Income (ttm):
7.41B
­953.80M
862.23M
EPS (ttm):
23.03
­8.90
0.61
P/E (ttm):
20.94
N/A
22.93

Financial Analysis
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