Google founded in 1998 is a leading search engine. Google wrested its dominant position in the search engine from Alta Vista, which was taken over by Yahoo. Googles diversified portfolio of businesses includes YouTube, Picasa, Google+, Google earth, chrome, Android etc. Almost 90 % of its revenue comes from advertising on Google. So far Google does not face any major imminent threat in this area. The slowdown of the economy does indicate that the internet advertising will be down and the revenues for Google may dip. According to www.buzzom.com Google may fail. It sees the Chrome business as risky, the data privacy and customer support as being inefficient with respect to customer demand.

Google is also planning a foray into the mobile handset and e books market. Is this diversification in consonance with Googles strengths is a big question. Does Google have the capacity to outcompete rivals such as Apple?

Goggles core business is Search Engine is its diversification into the Smartphone really a smart move? Would this diversification make Google lose focus on its core business? Should Google rather focus attention on the Search Engine and scale up its capabilities for better services and privacy?