YEREVAN, AUGUST 11, ARMENPRESS. Google, which has been expanding far beyond its original business of Internet search, is changing its operating structure by creating a new holding company called Alphabet. Armenpress reports, referring to “Hartford Courant”, that the company says that its new structure will give more independence to many of its wide-ranging and ambitious projects. Under the plan announced Monday, Alphabet will consist of the core Google business — including Internet search, mapping and YouTube — along with newer businesses that will be managed separately, such as Google Fiber, Nest, the investment arm Google Ventures, X lab, the company's secret research venture, and health-related ventures like Calico, focused on biology and longevity.

Google CEO Larry Page will become CEO of the new entity, with his co-founder Sergey Brin serving as president. Longtime Google executive Sundar Pichai, who has taken on increasingly important roles at the company in recent years, will be CEO of the core Google business.

Page says the change will provide "more management scale" and allow companies in the Alphabet portfolio to be operated independently. Page noted in a blog post that when Google was founded, its mission was not to be a conventional company.

The change might give investors a clearer picture of how much Google is spending on some of its newer ventures, like its effort to build a self-driving car, develop a glucose-sensing contact lens or install high-speed Internet fiber networks in several U.S. cities, said Colin Gillis, an investment analyst at BGC Partners.

But it might not signal much change in the current management structure, because Pichai has already been overseeing many of Google's core operations, Gillis said. As to where the inspiration came from, Page has made no secret of how he admires Berkshire Hathaway and Warren Buffett. Berkshire Hathaway is a collection of companies, including Geico. Google Inc. said its new chief financial officer, Ruth Porat, will hold the same title for both Google and Alphabet.

"Alphabet Inc. will replace Google Inc. as the publicly traded entity and all shares of Google will automatically convert into the same number of shares of Alphabet," the company said. "Google will become a wholly owned subsidiary of Alphabet. Our two classes of shares will continue to trade on Nasdaq as GOOGL and GOOG."

Google had revenues of $69.6 billion in 2014, and operating income of $22 billion.