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Google's AI Strategy: Escaping the Innovator's Dilemma

Author
Catherine and Tom
Published
Sun 13 Jul 2025
Episode Link
https://podcasters.spotify.com/pod/show/aqxis6/episodes/Googles-AI-Strategy-Escaping-the-Innovators-Dilemma-e35f9jn

This examines how Google successfully navigated the "innovator's dilemma", a phenomenon where established companies struggle to adapt to disruptive innovations.

It details how Google declared a "Code Red" in response to ChatGPT, leading to a company-wide effort to integrate AI into its core services like Search and Gmail. This highlights key strategies that allowed Google to overcome this challenge, including early crisis recognition, a willingness to "cannibalize" its own successful products by integrating AI that might reduce ad clicks, and a rapid experimentation-to-deployment cycle.

It provides universal insights for businesses facing similar disruptive threats, emphasizing the importance of internal transformation to prevent external disruption.

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