Google co-founders Larry Page and Sergey Brin are handing the leadership reins of parent company Alphabet to CEO Sundar Pichai.
Pichai became chief exec of the internet giant in 2015, when Page and Brin formed Alphabet to separate Google's business from its ventures not related to the search business, including self-driving cars and biotech. They held the roles of president and CEO, respectively.
The rationale for stepping down is that one leader is sufficient to run both companies.
"We've never been ones to hold on to management roles when we think there's a better way to run the company," Page and Brin wrote in a blog post.
"Alphabet and Google no longer need two CEOs and a president. Going forward, Sundar will be the CEO of both Google and Alphabet. He will be the executive responsible and accountable for leading Google, and managing Alphabet's investment in our portfolio of Other Bets."
The pair will remain active as co-founders, Alphabet board members and as shareholders, adding that they will continue to be in regular contact with Pichai.
"There is no-one we have relied on more since Alphabet was founded, and no better person to lead Google and Alphabet into the future," they added.
"Sundar brings humility and a deep passion for technology to our users, partners and our employees every day. He's worked closely with us for 15 years, through the formation of Alphabet, as CEO of Google, and a member of the Alphabet board of directors."
In a letter to employees, Pichai stated that his new responsibilities will not affect the structure of the organisation or the day-to-day running of the company.
"I want to be clear that this transition won't affect the Alphabet structure or the work we do day to day," he wrote.
"I will continue to be very focused on Google and the deep work we're doing to push the boundaries of computing and build a more helpful Google for everyone.
"At the same time, I'm excited about Alphabet and its long-term focus on tackling big challenges through technology."
Google's share price rose 0.75 per cent in after-hours trading after the news broke.
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