Alphabet Inc., the parent company of Google, is primarily owned by institutional investors. These investors hold over 60% of the company’s shares. Although founders Larry Page and Sergey Brin each own around 3% of the shares individually, their combined ownership with other insiders gives them a majority of the voting rights, effectively controlling the company.
Alphabet's Ownership Structure
Here's a breakdown of Alphabet's ownership:
- Institutional Investors: Hold the majority of shares (over 60%).
- Larry Page & Sergey Brin: Each founder controls roughly 3% of shares, but together with other insiders, they possess the majority of voting power. This control allows them to make strategic decisions for the company.
Key Points About Ownership
- Voting Power vs. Ownership: It's important to distinguish between the percentage of shares owned and the control over the company. While institutional investors own the majority of shares, the founders and other insiders control the majority of voting rights. This allows them to influence and decide on the company's operations.
- Founder's Influence: Despite owning a relatively small percentage of shares, Larry Page and Sergey Brin's voting power gives them significant control over Alphabet.
- Institutional Investors Role: They hold a large portion of shares, but they do not have direct control over the company, relying on the management by the controlling shareholders.
Summary Table
| Owner Type | Share Ownership | Voting Control |
|---|---|---|
| Institutional Investors | > 60% | Minority |
| Larry Page | ~3% | Majority (with other insiders) |
| Sergey Brin | ~3% | Majority (with other insiders) |
| Other Insiders | Variable | Majority (with founders) |
