Tao Liangchen

Chapter 570 Cherry-Picking Acquisition

For the past half-year, Google's development has been relatively smooth.

The reason Su Yehao exaggerated was simply to unite the company internally, taking the opportunity to encourage them to work harder.

If the news spread, it might also give Yahoo pause. Although competition is the norm in Silicon Valley, being labeled as petty and maliciously suppressing opponents would be enough to make Yahoo executives uncomfortable for a long time.

As soon as he finished speaking, Google's Chief Operating Officer, Danielle Kenning, immediately slammed the table and said loudly:

"That's right! Yahoo's purpose in acquiring us is definitely to bury us and continue dominating the search engine market. This is a monopoly!"

A purchase price of $1.2 billion would have shocked Larry Page and Sergey Brin in the past, but they aren't so short on money anymore.

Sergey Brin, quick-witted, immediately said:

"Once our company goes public, its market value is expected to reach between $2 billion and $3 billion. How dare Yahoo offer $1.2 billion? This is an insult, right? Our recent development trend already shows promise of surpassing Yahoo, constantly eating into their market share. Yahoo's search results are all ads, impacting user experience."

A marketing director, sensing that Su Yehao seemed unwilling to sell, pushed up his glasses and said, "Perhaps we should leak the news. If the company faces malicious competition from Yahoo, it might garner sympathy and support from users. Yahoo has always promoted openness and inclusiveness. Damage to its corporate image would actually benefit Google."

"Yes, that's right. I've been waiting for Yahoo to make a mistake, and this could be an opportunity."

CEO Larry Page tapped the table and added, "Yang Zhiyuan's acquisition invitation represents Yahoo acknowledging our strength, indirectly demonstrating that we are doing the right thing."

Some people were genuinely angry, while others were surprised that Google could be sold for $1.2 billion.

Valuation is just valuation, while the acquisition price equals cash. The two cannot be confused.

After all, the company is currently losing money. The practice of burning money to gain market share has resulted in Google's valuation by institutions consistently being low. It has not yet demonstrated a mature, stable, and profitable monetization model.

Su Yehao was pleased to see everyone so indignant.

This shows that there is still some cohesion among the senior management, unlike when iCQ was acquired, when everyone was eager to sell, and shareholders privately contacted him, offering advice and suggestions, afraid that the transaction wouldn't be completed.

The majority of iCQ's shares were held by venture capital firms, while Google was the result of everyone present's hard work, watching it grow step by step from insignificance to over four million users.

There is definitely emotional attachment.

More importantly, most Google executives have not yet received stock and option rewards, and they can still see Google's vast growth potential. Developing to its current scale under Yahoo's shadow is the best proof.

Since selling the company now is not beneficial to them, continuing to develop Google well will bring them rich rewards.

Comparing the two, which is better is obvious. No one present is a fool. They can all see that Yahoo's acquisition of Google is not for the purpose of developing it, but like other giants' conventional practices, spending money to eliminate trouble.

Silicon Valley and other parts of the world are not really devoid of other good companies. Many companies have received widespread attention, but later quickly declined.

Giants acquire small companies, and even if they cannot ultimately integrate them, they can keep key technologies in their own hands to prevent them from being lost to competitors.

The outside world likes to call this practice of giants stifling competitors and hindering technological innovation "acqui-hiring."

Don't ask why everyone present understands this so well, pinpointing the key, because they actually do the same thing.

This practice is too common. Since the beginning of the year, Google has acquired seven startup teams, spending a total of more than ten million dollars. By absorbing technical talent, it continuously optimizes product performance, providing users with a better experience. Google 3.0 version was just launched last month.

Version 4.0 is also in the development phase, using a better algorithm to try to provide personalized advertising.

The recent consensus among Google executives is to promote the company's listing as soon as possible. To achieve outstanding performance, increasing traffic monetization channels is undoubtedly a work priority.

At this moment, Su Yehao tapped the table, emphasizing:

"I know that Google is an excellent company, and its performance even exceeds Yanwenzi Group. Even in the face of fierce competition, it continues to expand under your management. Selling Google as a whole is not within my consideration. However, for financial reasons, I think we can start considering a Series A financing. Let Danielle be responsible for this. She has worked in venture capital firms and has more experience."

"Also, Larry, you are responsible for rectifying the company, looking for weaknesses that may be attacked by enemies. As far as I know, SoftBank Group of Japan is also eyeing us this time. Those venture capital people like to latch onto their prey and not let go until they achieve their goal."

"According to my idea, we should look for partners who can provide other help to Google and are very powerful..."

Hearing this, the executives sitting in the conference room instantly became excited.

According to the recent practices of Silicon Valley companies, after a Series A, there will be at most a Series B before they start considering going public on Nasdaq. Coinciding with a major bull market, neither the founders nor the investors usually have the patience to wait too long.

Danielle Kenning readily nodded and replied, "No problem!"

Su Yehao continued, "Let's all work harder this year. Let me say in advance that the year-end bonus may reach the level of half a year's salary, but the specifics will depend on your performance."

Offering six months' salary as a bonus is a sign of great sincerity, even in the fanatical Silicon Valley.

After simply finalizing the countermeasures and discussing the specific details of the financing arrangements, such as equity, Su Yehao plans to release 20% first, no longer being as petty as Yanwenzi Group, which went directly to IPO without external financing.

To put it bluntly, this Series A financing is actually a bit of digging a hole for others to jump into.

After the Series B financing is completed and then the IPO, including the equity rewards for executives and employees, Su Yehao plans to own about 50% of the shares at that time, bringing more people to get rich together.

The short meeting lasted a total of half an hour.

It ended just in time for lunch, and news about the year-end bonus and the $1.2 billion acquisition offer spread rapidly within Google.

A group of Silicon Valley "old" employees were overjoyed, while the newcomers who joined this year were dumbfounded, asking around how the year-end bonus would be calculated for those who joined the company this year.

It's not quite an approaching storm.

Learning that Yahoo was eyeing their company, many employees actually felt quite proud.

It's not easy to be targeted by a giant, which means Google has strength...

ps: You can read the newly updated chapters outside, and the tracking has dropped by two-fifths, returning to the old way. One day of tracking only brings in about 1,200, averaging four cents per subscription, making it difficult to make a living. I hope everyone can support the original.