Would that market cap be so high if all those employees were paid that extra million yearly?
Yes, that is what I meant by simplification.
On the other hand Google as search engine and ads (the part that makes money) needs fraction of the employees alphabet has. If they had to pay them that much, they would have never hired most of them.
If they had to pay them that much, they would have never hired most of them.
exactly. A company tant doesnt overexplore its workers cannot grow like alphabet did. The underpayment of the workers is an essential feature of alphabet, and part of what makes its market capitalization that high.
This implies that the answer to my question is “no”: if the workers had been paid properly from the start, there wouldnt be the discrepancy that makes the founder billionaires.
exactly. A company tant doesnt overexplore its workers cannot grow like alphabet did
No, alphabet has always made most of its money from their ad business, supported by search. Most of their other efforts, including YouTube were never profitable or insignificantly profitable. If they did not over-explore, they would create even more value per employee by not wasting resources. Maybe even more value in absolute terms.
Yes, that is what I meant by simplification.
On the other hand Google as search engine and ads (the part that makes money) needs fraction of the employees alphabet has. If they had to pay them that much, they would have never hired most of them.
exactly. A company tant doesnt overexplore its workers cannot grow like alphabet did. The underpayment of the workers is an essential feature of alphabet, and part of what makes its market capitalization that high.
This implies that the answer to my question is “no”: if the workers had been paid properly from the start, there wouldnt be the discrepancy that makes the founder billionaires.
No, alphabet has always made most of its money from their ad business, supported by search. Most of their other efforts, including YouTube were never profitable or insignificantly profitable. If they did not over-explore, they would create even more value per employee by not wasting resources. Maybe even more value in absolute terms.