PITTSBURGH (

TheStreet

) -- Internet giant

Google

(GOOG) - Get Alphabet Inc. Class C Report

is preparing to hit the

M&A

trail, according to CEO Eric Schmidt, providing further evidence of the

tech

recovery.

Speaking at a green technology event on the fringes of this week's G20 summit, Schmidt told

Reuters

that acquisitions are "turned on again" and that he expects to do one small deal a month instead of hiring new staff.

The Google chief, who is also an adviser to President Obama, also believes that the worst of the recession is over and is seeing economic improvement both inside and outside the U.S.

As for M&A, the former

Novell

(NOVL)

CEO said that larger deals are also possible. "There may be larger acquisitions, but they really are unpredictable," he said.

Confronted with a major slowdown in Internet-based

ad spending

, Google is throwing open its coffers to bring in additional revenue.

There has already been

speculation

that Google is eyeing video specialist

Brightcove

, and Schmidt recently

spent

$106.5 million to acquire video compression company

TheStreet Recommends

On2

.

The On2 deal was not the firm's first foray into the video space. Google spent a whopping $1.65 billion to acquire

YouTube

in 2006, although a major question mark still hangs over its ability to turn the video sharing phenomenon into a profit machine.

It is not just video and search, however, where Google is facing stiff competition. The Mountain View, Calif.-based firm has entered

Apple's

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sphere of influence through its

Android

and

Chrome

operating systems. Schmidt, for example, recently

stepped down

from Apple's board of directors, highlighting the increased

competition

between the two firms.

Google still

dominates

Internet search, but rival

Microsoft

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has high hopes for its

Bing

offering. The software giant has also clinched a search partnership with

Yahoo!

(YHOO)

as part of its long-term plan to challenge Schmidt's firm.

Google shares were flat at $498.25 in extended trading.