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The Google backlash begins

googlejugg.jpgWe just fielded a call from BBC News, wanting to interview us for a radio program about how Google is now competing with Microsoft for world power. The coin has dropped. Google has become a very big company, and looking at it as a cute, geekish upstart is no longer possible. That's why you have the NYT story today about Google becoming the "villain." John Battelle has some notable comments, and does a good job at pulling out the more interesting quotes from the Times piece. Reid Hoffman is CEO of Mountain View start-up LinkedIn:

Google, Mr. Hoffman said, has caused "across the board a 25 to 50 percent salary inflation for engineers in Silicon Valley" - or at least those in a position to weigh competing offers. A sought-after computer programmer can now expect to make more than $150,000 a year.

and:

"When I meet with venture capitalists, or if I'm engaged in a conversation about going into partnership with someone, inevitably the question is, 'Why couldn't Google do what you're doing?' " said Craig Donato, the founder and chief executive of Oodle, a site for searching online classified listings more quickly.


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Comments

i think the beginnings of the backlash were seeded in the so-called 'founders letter' in the S-1 filing. it was naive at best and ignored the substantial contribution of every google employee other than the two founders. i would imagine that employees # 3-10 and 11-50 had as much to do with google's success as did the first 2. infact, the credit for google's "creation" belongs to the original 2, not its success which goes to the first few hundred employees who worked their butts off for a few years. ofcourse the corporate behavior isn't netting them any friends just yet, just more users - more power to them.

f e on August 24, 2005 11:14 AM
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Everyone is beating around the bush here. Microsoft has had the monopoly on the operating system. This is the core of their power. Open source is eroding that grip.
So the question becomes "Will Google take on the real battle for the OS itself, or content itself with biting off portions of Microsoft's other businesses?"
Lynne Jolitz
Chief Technology Officer
ExecProducer / CoolClip Network

Lynne Jolitz on August 24, 2005 1:18 PM
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This is just too much Google talk. I have come across about 12 stories on them already! I feel this is just the way the cycle goes...Initially it was IBM who was the Villan, when Microsoft came, the role was passed on to them and now its Google which is painted as a villain. What's wrong in being sucessful?

Ashwini on August 24, 2005 1:55 PM
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Silicon Valley complaining about wage inflation? Given how salaries stagnated after the internet bubble burst, I say it's high-time they start going up again.

Does this mean Silicon Valley will be demand Congress to increase the H-1B quota? Or will outsourcing increase its pace?

Niraj on August 24, 2005 2:38 PM
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As a small company i can tell you that the "google will just do this" sentiment comes from everyone. Not only investors, but my wife and friends consistently ask, how are you going to be successful? Won't google just copy you! I guess we'll see.

Eric Goldstein on August 25, 2005 6:25 AM
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You know, the "Won't Google just copy you, how do you intend to be successful?" question is quite apt. If you had told me four years ago that Google would have such a massively successful IPO and get into the free VoIP space, the web-based email space, the web log space, and now the personal finance info space, I would have thought you'd be wrong. I thought that Google was a pure search player. How wrong I was!

Although Google appears to be the tide that lifts all the ships in the harbor, if care isn't taken, Google will indeed take over the "Ilie Nastase/John McEnroe" role from Microsoft. Wish 'em all the best of luck!

Google Freak on August 27, 2005 5:58 AM
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Join the backlash... or the envy: Google employees now enjoy a full-time on-site dentist.
Is this yet another sign of too much money floating around for little strategy?

Juan Lopez-Valcarcel on October 12, 2005 7:08 AM
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Google is bad for small business which it forces to blow money on PPC advertising by penalizing it on rankings. This is a result of G placing too much weight on the number of incoming links. Old crappy Korean Wat era sites with 2000 incoming show up on G's first SERP. Meanwhile fresh new sites with far better content but only a few links show up on G's 90th SERP.

Read more on my blog.

Peter on October 24, 2005 1:59 PM
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