04-01-2006, 10:12 AM
Quote:What is Google planning? What's Google gonna do with all that cash?
A better question might be, in the struggle against Microsoft and Yahoo, where is Google competitively vulnerable? You can be sure that Google is accumulating cash to patch its strategic vulnerabilities....
Vulnerability #2 - Google has very limited e-commerce capability. If Google intends to be a marketplace, there are far more capable commerce platforms than the fledgling Base and Payments that Google has created. Google's done some interesting things with Base and Payments, but they're still in early stages of development and will take a long time to build up a user base.
Vulnerability #3 - Google has a small user base. Sure, Google has the greatest marketshare in search and search advertising. But how many people does Google really know? How many people have a relationship with Google close enough to set up an account?...
full article: http://www.buygoogle.com/2006/03/googles...hoard.html