They should instead look in China, where there already is not only a second Google but also a second Facebook, Amazon, WhatsApp, Stripe, ...
So, why did the Chinese succeed where Europe failed? Here are my thoughts:
* Regulation: With its strict censorship and great firewall, the Chinese government effectively shut out most American IT companies from their market, giving local companies enough time to grow.
* Culture: Chinese culture is much more different from American than European culture is, hence it is also much more difficult to adapt an American IT service to the Chinese market than to the European.
* Market size: With 1.3 billion people, 900 million of which speak Mandarin the market size for any IT service is enormous, even taking into account that many people still do not have reliable Internet access or a lot of money to buy services / products online. Likewise, the market growth is much higher than in the US or Europe.
Personally I believe that the main competition for American IT companies will not come from Europe but from China. Right now, most Chinese IT startups only follow in the roots of their successful American idols, but with so many well-educated young entrepreneurs this should change soon, and I predict that we will see more and more disruptive Internet startups "made in China" very soon.