Strong quarterly financial results from Google has helped the firm surpass the valuation online auction site eBay to become the biggest Internet company in terms of stock market valuation.

Somewhat akin to the dot com mania of the late 90s, the search engine firm is now valued at about $56bn (£29.6bn), exceeding the combined value of General Motors and industrial monolith Alcoa, according to Reuters.

EBay's valuation recently fell to $52bn (£27.5bn) after its results failed to match analyst expectations, while Google appears to be moving from strength to strength.

Google chief executive Eric Schmidt says the firm's rapid expanse into new markets around the world is only constrained by the speed at which the company can hire local staff, 'set up bank accounts and collect the money'.

Schmidt told the FT that new markets like the UK are 'red hot' for the company right now.

The company reported earnings of $1.032bn (£546m) for the fourth quarter, up 101 per cent year on year, while income surged to $303m (£160m).

Shares in the firm rose as high as $216.80, before settling at $205.96, seven per cent up for the day, raising concerns in the market that the company's share price is overvalued.