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Yahoo CEO: “Google Is Going To Have A Problem”

It's no secret that Google has, on a very steady basis, dominated its competition and managed to return big profits.  And Carol Bartz may be in no position to question the company's methods.&n...
Yahoo CEO: “Google Is Going To Have A Problem”
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  • It’s no secret that Google has, on a very steady basis, dominated its competition and managed to return big profits.  And Carol Bartz may be in no position to question the company’s methods.  But Yahoo’s CEO nonetheless chose to point out a potential weakness this week, and she may be on the right track.

    Does Carol Bartz have enough credibility to criticize Google?  Tell us what you think.

    Carol BartzBartz told Jonathan Fildes, "Google is going to have a problem because Google is only known for search.  It is only half our business; it’s 99.9% of their business.  They’ve got to find other things to do."

    Also, in terms of how Google will be judged as it attempts to find those other things, Bartz observed, "Google has to grow a company the size of Yahoo every year to be interesting."

    The 99.9 percent figure is obviously an exaggeration.  Still, if you figure that Google has a market cap of around $169 billion and Yahoo’s market cap is closer to $24 billion, the second remark doesn’t seem too inaccurate.

    So as Bartz indicated, that puts a lot of pressure on Google to succeed at something other than search.  Whether that something’s Android, Google Apps, the TV Ads program, or a different product doesn’t matter, but in this light, Yahoo’s rather scattered network of properties starts to look a little more attractive.

    UPDATE: A regulatory filing has revealed that Carol Bartz received $47.2 million in compensation for her work in 2009, which is far more than either Eric Schmidt or Steve Ballmer collected.

    What do you make of Carol Bartz’s remarks — and her compensation package?  Let us know in the comments section.

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