Thursday, August 22, 2019
Google’s Market Cap Jumped by US$48.9 Bil after Recent Go Matches in South Korea
Huge Gain
Google’s Market Cap Jumped by US$48.9 Bil after Recent Go Matches in South Korea
  • By Cho Jin-young
  • March 17, 2016, 03:15
Share articles

Korean Go player Lee Se-dol (center) are holding the hands of Demis Hassabis, CEO of DeepMind (left) and Eric Schmidt, chairman of Google in a meeting in Seoul on March 8 , the eve of the first match with Google’s artificial intelligence AlphaGo.
Korean Go player Lee Se-dol (center) are holding the hands of Demis Hassabis, CEO of DeepMind (left) and Eric Schmidt, chairman of Google in a meeting in Seoul on March 8 , the eve of the first match with Google’s artificial intelligence AlphaGo.

 

It has been found that Google’s market capitalization increased by more than US$48.94 billion (58 trillion won) after the five Go matches between AlphaGo and Lee Se-dol.

On March 15, Alphabet Inc., the parent company of Google, recorded a common stock market cap of US$507.67 billion on the New York Stock Exchange. On March 8, one day before the first match, the amount had been US$483.2 billion. Likewise, its preferred stock market cap increased by US$24.47 billion during the same period. The price of the common stock rose by 5.18% from US$713.53 to US$750.57 between March 8 and March 15 while that of the preferred stock increased 4.95%. During the period, the NASDAQ index gained only 1.71%, about one-third of the increase in the price of the common stock. 

Alphabet’s shares are divided into A-type, B-type and C-type ones. The A-type are common stocks and the C-type are preferred shares. The B-type are non-listed shares owned by no one but the executive members including the co-founders of the company.

Google spent US$2 million on the matches but recovered the US$1 million prize money by winning four out of the five matches. In addition, it is said that its promotion effects are uncountable.