So what of Schmidt? It seems he will still be fully involved in the progression of Google for some time to come.
Having joined the company as chairman of the board of directors in 2001, Schmidt became CEO later in that year. He has taken the company through 10 years of massive growth.
"We've been talking about how best to simplify our management structure and speed up decision making for a long time," Schmidt said.
"By clarifying our individual roles we'll create clearer responsibility and accountability at the top of the company. In my clear opinion, Larry is ready to lead and I'm excited about working with both him and Sergey for a long time to come."
Given the success Schmidt and Google have had together it may come as a surprise to some that he is stepping down as CEO.
Indeed, Gartner analyst Rene Millman said Schmidt has proven himself to be a worthy leader.
"I think in the early days Schmidt was definitely the right man for the job. And history has proved him to be so," Millman told IT PRO.
"I don't foresee any problems with a new man at the helm. Hopefully Schmidt has been a good mentor to Page and Page has learnt enough from Schmidt to continue the Google success story."
Millman added that it made sense for co-founder Page to lead the company in the years ahead.
It certainly appears Google has made a astute move and timed it to perfection as well. This is one ship one with a young, talented new captain - that does not look like sinking.
