In the long run, this could affect Google, but, then again, if they change their hiring policies for better even after long 5 years, the best talent that might had been rejected before would still go to work at Google. So, still I don't think Google really consider it as an issue for them. Though, I have been burned once myself by them.
I don't consider myself "top talent", so I won't comment on my own experience through the interview process. But I do know that I don't want to work for google. Hell, I'm happier doing my own thing.
I also know a few "top talent" engineers that rejected the google offer because they didn't like the process and the people they met. I know even more ex-Googlers that quit within the year of starting there.
It's not an issue for them? From where I'm looking, most of the experienced top talent (that it's not working at google already) is keeping away from it, in greener pastures and most won't look back.
Yep, google is not going anywhere anytime soon, but I'd be just a bit concerned if I were them.
Google is not the Google it was. I mean I still consider that working for Google is attractive, but things I get from tens of my friends who work there are to say the best....mixed. Google might still have the vigor and excitement at its core, but unless you are an already exceptional engineer, the work you get assigned there, often times, ranges from bland to boring.
Like I said, Google is still an amazing company, but it is by no means the only one out there. Talents won't come to work for it just because it is Google, without great compensation and interesting projects.
Can they, though? Obviously they believe they can, but are they correct?
Google's not going away any time soon, but they could easily slip a long way down from the top of the heap. There are signs that's started to happen.
I don't think they can be nearly as casual about losing top candidates as they seem to believe. In five or ten years we'll know, I suppose.