Google: A Really Smart Team But Can It Execute Perfectly All the Time?

Implications: 1. As the emerging major ruler and "landlord" of the Internet, a guess is Google's market cap will come down a lot due to future execution imperfection vs. Wall Street persistently skyhigh expectations but will overtake Microsoft's in the long term.  (This assumes market conditions won't tank due to force majeure.)
2. Google will see more and more time in Washington, DC, for monopoly issues.
3. The Microsoft vs. Google business war will get increasingly delicious.

Analysis: Let's face it:  The team -- the management team, the working folks, the board, and other core VIPs -- at Google are really really smart and knowledgeable.  Some godzillionaires there remain focused, intense, passionate. 

Have you been to Googleplex and had lunch there amongst all these very energetic and bright young people in its main cafe?  Man, the incredible culture and energy felt and seen were a life-changing experience for my 40+ year old brain and body.

There is almost nothing they don't know about the Internet and how to monetize it.  (How I wish I got the job after a Google board member I know asked during the pre-IPO late 2003 if I was interested to run Google Asia Pacific!  I looked into it and I guess they had better people in mind.)

Now, let's be realistic.  Wall Street has now been conditioned to expect perfect execution and performance delivery vs. its skyhigh expectations quarter to quarter, forward. 

This reminds me of Cisco Systems' incredible run quarter to quarter for nearly a decade straight through the 90s, riding and helping drive the global Internet infrastructure growth.  Google may pull this off for many years to come.  

However, chances are, any hiccups in execution may spell disappointment from an investor standpoint.

But given Google's increasingly more competitively advantaged position on the Internet, it seems likely it will be poised to deliver and reap the rewards by overtaking Microsoft, which remains in catchup mode on the Internet, in market cap, in the long term.

That's my guess.  Bets, anyone?

This commentary is additional to my recent post, "Google Expanding Its Position as the Biggest Internet Landlord,"
http://news.glgroup.com/cm/Analysis/Logs.aspx?a=p&lid=4504&pid=10766.

A related article is "Eric Schmidt On The Spot,"
http://www.forbes.com/2007/04/17/google-doubleclick-performix-tech-cx_rr_0417webschmidt.html?partner=technology_newsletter.