"This new structure will allow us to keep tremendous focus on the extraordinary opportunities we have inside of Google," Page wrote in a blog post Monday.
Originally this struck me as rather hilarious. How better for Google to focus then by creating a company called Alphabet and thereby not actually focusing on Google.
Then I read the full post and it instantly made sense.
Alphabet is mostly a collection of companies. The largest of which, of course, is Google. This newer Google is a bit slimmed down, with the companies that are pretty far afield of our main internet products contained in Alphabet instead
Google has been trying to innovate in many areas unrelated to Google's core online products. Each new venture has been burdened by the Google brand. People expect certain things from Google products. Now that Google has Alphabet (man, these companies have funny hames) they can innovate unencumbered by the expectations of a product made by Google and instead focusing on making the best product.