How Does Google's IPO Affect Soloists?
If you've been following recent business news, you've likely heard about the upcoming Initial Public Offering (IPO) for the popular search engine, Google. In a relatively short time, this Internet service has gone from a darling-of-early-adopters to a verb used in everyday conversation. (It wasn't too long ago that if you asked, "Did you Google that?" someone would have thought you were odd, or worse.) Now, the company is headed to make its hardworking founders and employees wealthy. But along with the change in its corporate status, Google's IPO may be a harbinger of other changes, some that may impact soloists. Here's why:
1) Google has been the premier Internet search resource and the behind-the-scenes engine for several other search sites. Now, the competition will be heating up, particulary with Microsoft's and Yahoo!'s search capabililites. What this means for soloists is that we must now pay attention to how our sites are listed on several Web search engines, not just Google. One site that can help you track your links is Link Popularity, a free service that provides a report on the total number of Web sites that link to your site. While this site can't increase your rankings, it is a valuable first-stop resource to keep you up to date. Check it out at: http://www.linkpopularity.com
2) The competition will also likely lead to increased features and services that may be useful for small business owners. Google's Adwords have been very popular with some segments of the small business market, and offerings from competitors are in the wings. Similarly, Google's new email service, Gmail, which integrates ads into emails based on message content, is in a beta testing stage, and both Microsoft and Yahoo! are closely watching public response. Since both Microsoft and Yahoo! have recently revamped their small business offerings, it wouldn't be surprising to see Google come out with a creative solution that keeps the other two giants on their toes. The three-way race is on, and soloists might be able to reap the benefits.
3) Finally, the Google IPO will breathe some life -- and pump some money -- into Silicon Valley, along with some optimism. Since many soloists are at the end of a longer corporate food chain, this may free up some budgets and kick-start outsourcing. Then the upward momentum would begin again, as more soloists launch or expand firms, and call on other independents to assist them. We saw this flourish in the 1990s (even before the bubble mania), and we also saw its ugly twin when the cycle came to a grinding halt so quickly in 2000. While primarily focused in California, it could have broader national impact.
Of course, one company cannot change the entire economic climate. But Google's good fortune could generate positive ripples across many segments of the solo economy. Stay tuned.
This article originally appeared in Terri Lonier's Working Solo Newsletter, a free monthly email newsletter filled with news and information for small business owners. To subscribe, visit http:www.workingsolo.com
Copyright 2004 Terri Lonier. All rights reserved.
