SANTA MONICA, CA – Google’s announcement today that it is creating a new holding company called “Alphabet” changes nothing about the company’s impact and challenges it poses for consumers, the nonprofit public interest group Consumer Watchdog said.
It became clear over the weekend why Google agreed to a whopping $500 million settlement with the Justice Department to end criminal charges that it aided in the sale of illegal drugs from Canada. Co-founder and CEO Larry Page knew that the Internet giant was breaking the law.
Google CEO Eric Schmidt will be leaving the CEO’s office and founder Larry Page will be stepping in. The question is whether this is a signal from the Internet Goliath that Schmidt’s missteps and misstatements about online privacy are no longer company policy.