thoughtcrumbs

Google profitability depends on attracting the best engineers

In this month's Communications of the ACM, Michael Cusumano reviews the sustainability of Google's business model*. The gist of the article is that Google became the market leader because of its excellent search algorithms, but a better search engine is potentially just around the corner, waiting to become everyone's favorite. Thus, Google is developing other services to keep people coming—GMail, Froogle, Scholar—just in case their search engine is supplanted by a better one.

Yet Cusumano doesn't mention one of Google's other advantages: its ability to attract the best engineers and designers. With some exceptions, a lot of people want to work there. Attracted by the "don't be evil" business philosophy, the opportunity to spend 20% of their time on personally interesting projects, or just the free lunches by the Grateful Dead's chef, really talented programmers flock there. So, even if it broadens into dozens of other services, Google's corporate culture will help to ensure it stays the best search engine in the universe.

*You'll need an ACM membership to read the article, but lots of university libraries also subscribe.