The potential investor upside of a Google breakup — if John Rockefeller is any guide
Published On Sep 22, 2024, 9:30 AM
The article discusses the potential implications of a breakup of Google, drawing parallels to John Rockefeller's Standard Oil, which was divided into smaller entities following a Supreme Court antitrust ruling in 1911. This breakup resulted in significant increases in market value for the new companies. Legal experts speculate that a similar outcome could benefit Google's shareholders despite possible immediate concerns over the breakup's effects on profitability. However, some analysts express caution about the negative impact of such a divestiture. The article also mentions other historical breakups, such as AT&T's, which had mixed results for shareholders.
Stock Forecasts
GOOG
Positive
In the event of a breakup of Google, the company could see increased innovation and efficiencies, encouraging a positive market reaction. Shareholders may benefit significantly, similar to those of Standard Oil post-breakup.
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