ket that it helped create, and which would set the tone for Microsoft pursuing market domination of its own through the next several decades (Carr, 2005).
Today, Microsoft has five distinct business units: Windows and Windows Live, Server and Tools, Online Services, Microsoft Business, Entertainment and Devices. All divisions except Entertainment and Devices are software divisions; E&D includes hardware for the Xbox, Zune and automotive products ("Microsoft's Business," 2009). Thus Microsoft has business units rather than functional units with possible duplication of effort occurring across business lines. However, this specialization can give the company more focus in each of the business areas (Nagappan, Murphy & Basili, 2008).
Founded in 1998, Google is the newer of the two companies, but has had no less astounding a history. Originally begun as a search engine by two Stanford University graduate students, the company has grown to encompass a variety of product offerings with operations around the world. In the course of expanding from being "just" a search engine to offering e-mail, hardware and a variety of services, the company has also changed the business model of the Internet. Many Internet companies failed during the late 1990s and early 2000s (the dot-com "bubble,") but Google was not one of these, and received their first infusion of capital from an outside investor prior to being incorporated. Part of their success came from hiring engineering employees to ensure that the product was strong-the "company dog" was brought in before the first non-engineering employee ("Google Milestones," 2009).
This commitment to products balanced with a responsible financial strategy is reflected in the company's organization. An operating committee comprising operations, products, engineering and product management senior executives oversees the company's strategy. Functionally, the company is divi...