5 Biggest SaaS Companies in the World

2. Alphabet Inc. (NASDAQ:GOOG)

Market capitalization as of March 14: $1.21 trillion

Alphabet Inc. (NASDAQ:GOOG) operates through multiple subsidiaries, including Google, Waymo, Calico, Chronicle, CapitalG, Verily, DeepMind, and X. The company is known for its global internet search industry dominance through Google. This subsidiary is also Alphabet’s ticket into the global SaaS space. Google offers several cloud-based SaaS products that are widely used by individuals and businesses, including Google Workspace (formerly G Suite), a suite of productivity and collaboration tools that includes Gmail, Google Drive, Google Docs, Google Sheets, and Google Slides; Google Cloud Platform, a suite of cloud computing services that includes computing, storage, and application development tools; Google Analytics, a web analytics service that tracks website traffic and provides insights into user behavior; Google Ads, an online advertising platform that allows businesses to create and manage advertising campaigns on Google’s search engine and other websites; and Google Firebase, a mobile and web application development platform that provides tools for building, testing, and deploying applications.

Diamond Hill Capital made the following comment about Alphabet Inc. (NASDAQ:GOOG) in its Q4 2022 investor letter:

“Other bottom contributors included media and technology giant Alphabet Inc. (NASDAQ:GOOG), apparel and footwear company V.F. Corporation and utility operator Dominion Energy. We believe Alphabet’s shares underperformed on concerns of a weakening macroeconomic environment. The company also reported weaker-than-expected earnings and revenue for Q3 2022. Longer-term, we expect Alphabet’s search engine advertising, YouTube advertising and other initiatives to continue driving revenue growth. As such, we used the share price weakness this quarter to add to our position.”

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