Google IPO--timing 英文
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Timing
On August 19th, 2004, Google went public in a highly anticipated initial public offering. Actually, Google had a positive financial position for many years and also had many opportunities for going public, but it chose 2004 for its IPO. According to our analysis, here are the reasons:
The Effect of Internet Industry and Competitors
In 2004, the internet industry went to a turning point, many companies was seeking for new business model. Microsoft was set to launch its own entrant in the search-engine market, and Yahoo had been working to match Google's features. In fact, Yahoo has integrated search into its instant-messaging product. Google was not an exception. Actually, in the early of 2004, Google dealt with about 80% of the whole searching services, but this percentage fell a month later. Google realized it needed to raise more money to develop its business, and going public is a good way. Internal Structure Needs
Another reason was Google’s internal business structure. From2001, Google had purchased many companies, especially those small portfolio companies. Google using these companies’ professional technologies to expand and enlarge its business lines. With the amount of purchasing went larger, google was in a favorable position in the market, and it was the right time to going public because the company was on the top, attracting more investors. And that also helped the Dutch auction price maintain a high level.。
