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Google's Growth Spurt: Seven Reasons for CIOs to Worry

By Don Reisinger on 2011-09-15


If you're following the tech news trends, then you already know that Google is growing rapidly. Once known primarily for its search engine, Google has exploded, providing a host of services and solutions that include operating systems, advertising systems, and -- with the acquisition of Zagat-- original reviews content. For CIOs, Google’s growth over the years hasn’t been all that worrisome. The search giant has generally catered to consumers, and for the most part, leaving the enterprise largely unaffected. However, in the last couple of years, that has changed. And now, Google is having an impact on your business in a wide variety of ways: Your users may be demanding Google Apps for Business -- the company’s cloud-based business applications -- or opting to download its Chrome Internet browser. They're probably clamoring for smartphones based on its Android mobile operating system. In fact, when it comes to the unstoppable force of consumerization in IT, Google is giving CIOs plenty to worry about on a daily basis. Here are seven factors to consider.

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The Next Acquisition?
The recent acquisitions of Motorola Mobility and Zagat are just the latest in the company's spending spree. It also scooped up a number of IBM patents. In fact, much of the company's acquisition strategy seems built around securing patents, which means Google may eventually touch every part of your company.

How Will Microsoft Respond?
As Google continues to expand its mobility and applications portfolios, Microsoft must respond. For CIOs, that’s not a good thing. Right now, Microsoft devotes plenty of resources to the enterprise. But, if Microsoft gets distracted by a battle against Google over consumer market share, its enterprise customers could be the ones to suffer.

How Will Other Tech Vendors Respond?
Solutions providers across the tech sector are already feeling pressure from Google's expansion. They might respond by announcing new consumer-focused services that aren't as enterprise-friendly, or by discontinuing solutions that CIOs have come to rely upon. Google is a change agent to be reckoned with, and even the most enterprise-focused tech providers aren't immune.

Lost in Translation?
It remains unclear what enterprise-focused services might look like from a company that has, thus far, earned its revenues primarily from advertising and search. Will Google concern itself with the security, privacy and compliance issues that matter to CIOs, or will it be yet another purveyor of consumerized IT?

Google Touches Everything
Google now has a hand in practically any market, which enables it to serve consumers well. But, CIOs want enterprise solutions providers to be focused on their business concerns. And Google simply isn’t holding up its end of the bargain.

An All-Cloud Strategy
Most CIOs agree that there's a place for the public cloud, but would argue that it's not the panacea that vendors would have us believe. Google is pushing cloud-based productivity suites, such as Google Apps for Business, and cloud-based operating systems in Chrome OS. Few CIOs want to be totally cloud-dependent, but Google doesn’t seem to care.

What About Security?
On the mobile side, the company's Android OS is increasingly targeted by malware. At least so far, Google hasn’t offered up any reassurance that it will be able to protect users over the long-term. That said, its cloud services are quite secure. But as hackers turn their attention to the cloud, how will the search company’s services hold up? Only time will tell.

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