Financial Union News on May 25 (editor Zhao Hao)On Tuesday, Google CEO Sundar & Middot; Sundar Pichai, chief executive, said in an interview that macroeconomic factors "will affect the technology industry" as fears of a recession grow.
During the Novel Coronavirus pandemic, technology giants, including Google, have recorded sustained growth. But as the pandemic recedes, supply chain disruptions are casting a shadow over their business. According to TheElec, Google has again delayed its first foldable smartphone, which was due to be released late last year.
Since the start of the year, us tech giants and the US Internet sector have fallen sharply. Pichai pointed to the Russia-Ukraine conflict and central bank monetary tightening as very worrying. "Generally, economies are cyclical, and the tech sector is even more cyclical," he said. He added that the industry was bound to be affected to some extent by external instability.
This month, streaming giant Netflix announced a reorganization of its engineering team after a dismal first-quarter earnings report. It is reported that the company's original animation creative director and staff have been dismissed. Meta also said that the company will slow down the growth rate of expenditure and periodically re-evaluate the talent acquisition mechanism based on business needs.
But Pichai said Google would continue to hire and invest in the long term. Last month, the company announced plans to hire 12,000 people in the US this year, about 20% more than a year earlier. Pichai stressed the importance of technology in the economy. "Technology creates real value for the economy," he said.
Pichai also spoke in the interview about tougher regulations for Internet companies around the world. The introduction of the European Union's Digital Services Act, despite the economic downturn, shows that the tech industry is at a turning point.
Pichai explained that as the Internet matures, almost all countries are thinking about what the right digital regulations are. He said Google was also considering changing some of its products to comply with the new regulations, including some of the company's previous rules on Google Play.
But he opposes the digital Advertising Competition and Transparency Act being proposed in the US, which would force big digital advertising companies to divest assets.