I'm not sure that Google had such a cogent strategy when it made its blockbuster products and acquisitions, like Gmail, Docs, Picasa, and YouTube. It wasn't obvious that YouTube ads could make enough money to pay for the servers, and indeed it took a while to be profitable. Maybe the strategy was just that Google should do better and cheaper than others.
I think individual engineers looked at things (e.g.) Microsoft made, like Outlook, made it better, and made it free. Nobody should be surprised if the corporate go-ahead was made on the basis of undercutting Microsoft rather than driving ad revenue (at the time).
I think individual engineers looked at things (e.g.) Microsoft made, like Outlook, made it better, and made it free. Nobody should be surprised if the corporate go-ahead was made on the basis of undercutting Microsoft rather than driving ad revenue (at the time).