Thursday, November 23, 2006
Don't bet against the Internet, says Google's CEO
So Google's share price has now gone above $500. Wow. According to the New York Times, there are only 13 American companies that are worth more. As the story points out, that's not bad for a company that was forced to lower it's initial public share offering price to $85 from $95 when it first went public two years ago.
And if you were listening to me, and bought their stock, you're in pretty good shape, aren't you? Same with Apple. I told people to buy that stock and it's worked out pretty well too.
Unfortunately, I didn't follow my own advice. So instead of being rich now, I own a few pretty boring mutual funds, which might contain a tiny bit of those two, but probably don't. But they do fit my investment risk profile...
Of course, when I was telling people to buy, I didn't have any money. And I still don't. But if I had bought then, I'd have a lot of money now...there's some kind of a lesson there, but I'm still not sure what it is.
At any rate, Google's success has given it a certain clout in the market and it makes sense to pay attention to advice that comes from that company.
In the Economist magazine's The World in 2007 edition, Google's CEO Eric Schmidt advises us not to bet against the Internet. And he outlines his reasons why the exciting stuff we're seeing now is just the tip of the iceberg that's to come.
He's right. We're living through a revolution every bit as world-changing as anything else that's come before. The Web is changing our world - it has changed our world - and the effects are only just starting to be noticed.
In another two years, I predict we'll be looking back and wondering why we didn't see things more clearly. It all seems so obvious in hindsight. Of course Google would succeed. Why didn't everyone realize that? Sigh...too bad some of us didn't believe our own hype.
What about you? What's in your future? What are you getting into now so that you can look back and say "boy, that was a smart thing to do?" Real estate comes to mind, given the way the market has gone lately. I wish I owned a lot in Uculet, like some people I know!
Meanwhile, I'm still waiting for the land boom in Buena Vista to take off...