Alphabet to sell off Terra Bella satellite unit, impacting Google Maps - report
Google parent Alphabet is reportedly in talks to sell its satellite imaging unit, Terra Bella, in a deal that could impact the future of Google Maps and competition with Apple's own Maps app.
The unit would be sold to a startup, Planet Labs, that is actually seeking new venture funding to help pay for the acquisition, sources told the Wall Street Journal. Indeed the alleged deal would involve handing Alphabet a mix of cash and equity.
Terra Bella was previously known as Skybox Imaging, and bought by Google in 2014 for $500 million. In its current incarnation, the unit has seven satellites for capturing data, which is then used in Google Maps and/or sold to third parties.
Google is said to have decided, however, that it's more cost-effective to buy imagery from outside parties, rather than launch and operate its own satellites.
For Planet, an acquisition could make it more competitive, as former workers say it has been struggling to find customers. While it operates dozens of satellites, each weighs about 10 pounds and can only snap low-resolution images. Terra Bella's satellites are far larger, with higher-quality capture.
Under CFO Ruth Porat, Alphabet has been cutting back on some of Google's more ambitious and/or expensive efforts -- for instance halting Google Fiber expansion plans, at least until wireless options make them more affordable.
Apple has so far been heavily dependent on third-party mapping data, though it has been touring its own vehicles around cities worldwide. If Alphabet does sell off Terra Bella, it could potentially put Apple and Google on a more level playing field.
The unit would be sold to a startup, Planet Labs, that is actually seeking new venture funding to help pay for the acquisition, sources told the Wall Street Journal. Indeed the alleged deal would involve handing Alphabet a mix of cash and equity.
Terra Bella was previously known as Skybox Imaging, and bought by Google in 2014 for $500 million. In its current incarnation, the unit has seven satellites for capturing data, which is then used in Google Maps and/or sold to third parties.
Google is said to have decided, however, that it's more cost-effective to buy imagery from outside parties, rather than launch and operate its own satellites.
For Planet, an acquisition could make it more competitive, as former workers say it has been struggling to find customers. While it operates dozens of satellites, each weighs about 10 pounds and can only snap low-resolution images. Terra Bella's satellites are far larger, with higher-quality capture.
Under CFO Ruth Porat, Alphabet has been cutting back on some of Google's more ambitious and/or expensive efforts -- for instance halting Google Fiber expansion plans, at least until wireless options make them more affordable.
Apple has so far been heavily dependent on third-party mapping data, though it has been touring its own vehicles around cities worldwide. If Alphabet does sell off Terra Bella, it could potentially put Apple and Google on a more level playing field.
Comments
Remember too that Google is a significant investor in Elon Musk's SpaceX.
I had always figured that Alphabet would use multiple images of the location from different angles to automate 3-d imaging, but maybe that didn't work out (theoretically it should be possible)
I have Navigon for the times that I need a fully fledged navigation app, will POIs and all the other bells and whistles, including offline use. (Maps does this as well when I enter my route on WiFi. I just can't deviate much.)
Google Maps, Here, and two other mapping apps are on my phone, but I haven't yet needed them.
Apple also needs to go back to dramatically simplifying its software.
Not to be confused with Project Titan, which is Apple's car project.
If Alphabet didn't get rid of the Titan Team and Apple's Project Titan results in a car, somewhere in the future, an Alphabet drone would crash into an Apple car for the inevitable clash of the titans...
Let's see how long it lasts. i can't believe i am saying this but i think Facebook has an advantage over Google in that the mining of personal data comes directly to them from their users.
Google is finding themselves increasingly locked out of the most profitable mobile platform. The second most profitable mobile platform, namely Samsung, is also dedicated to moving away from Google.
I personally have purged Google from all of my devices. Apple maps is nice enough. And Apple's avoidance of street view is a plus. I resent Google posting pictures of my home all over the Internet. I would be happy to see Google maps and the street view function go away all together.
Satellite imagery isn't all it's cracked out to be anyway. Satellite cameras cannot see past the smog of the major Chinese cities.
In addition, Google street view doesn't exist in China either. Even in a democracy like South Korea, Google search is used minimally.
I own Apple devices nearly exclusively but have expanded to include the Echo and looking at adding the Gear S3 frontier. Google will have no place in my home. To be fair, Facebook won't either. But between the two, Facebook has the better model. Google failed to compete with Google+, but Amazon's Alexa has the potential to displace Google search. Even Woz himself recognized the potential of Alexa as the next big thing in computing.
http://bostinno.streetwise.co/2016/03/17/amazon-echo-apps-vs-siri-wozniak-alexa-app-platform/
Google assistant has already lost. Essentially no developer community unlike the case with Alexa.
Google got lucky with Android. They won't catch anyone off guard the next time. Their poor attempts at copying others will fail. Why investors believe in the company is beyond me.