Google employees are usually smart, this person isn't. I mean even at face value his logic is unsound: all mobile services are cloud supported, there is no conflict between being mostly about mobile and providing developers with a backend on which to build their wares, which in any case are also increasingly mobile.
I don't mean to sound crass, but if Google employees are so smart why is Google so collectively bad at doing anything right for an end user experience? Adwords does awesome, Google X has a mind of its own, but the rest of Google? The only thing somewhat decent that comes to mind is Calendar, Gmail, and the latest versions of Android.
Mind you, I'm a huge Google fan, but it (as an org) makes some pretty terrible decisions collectively.
Also, user experience is not the be all and end all. Profitability on the other hand...
Yes, yes, I know. Adwords. They better hope licensing for self-driving cars takes off.
Does that mean having bad user experiences is justified? No. But it's incredibly complicated to tie together such large projects (at a complexity most people won't fathom) and do it well.
I would look at it the other way and be amazed how good some of the things work.
The only way for Google to innovate now is through acquisitions and acquihires.
Also, it's perfectly acceptable to enter new markets through acquisitions and apply Google's innovations there. That is a form of innovation in my opinion.
You're also hopping the goalposts around a bunch between revenue, success, and some subjective measure of "quality", but Android has over a billion activations, Chrome has three-quarters of a billion active users, GMail has 600+ million active users...again, one would have to be a complete fool (or a recent immigrant from Mars) to think that "only GoogleX and AdWords have had success".
By the way, in case you're planning to move the goalposts again to focus on only revenue, if you can't understand the concept of a product having monetary value without directly being a source of revenue, then I'm honestly just in awe of how little you understand how any of the industry works.
... Sorry, everybody. I'd missed that one yesterday. :( We now return you to your regularly scheduled Google-skepticism
Disclaimer: I too work for Google.
2nd Disclaimer: No I don't.