Comments on: Google Eyeing a VC Arm? http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/ The Business of Technology Tue, 02 Dec 2008 01:16:27 +0000 http://wordpress.org/?v=MU hourly 1 By: Elastra Gets $12M — Is It Amazon’s Enterprise Play? - GigaOM http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/#comment-892179 Elastra Gets $12M — Is It Amazon’s Enterprise Play? - GigaOM Tue, 05 Aug 2008 12:01:02 +0000 http://gigaom.com/?p=16071#comment-892179 [...] — and Google — are, in many ways, acting like VCs. But unlike traditional investors, these companies are [...] [...] — and Google — are, in many ways, acting like VCs. But unlike traditional investors, these companies are [...]

]]> By: Vid-Biz: Akamai, ABC, Blu-Ray « NewTeeVee http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/#comment-891536 Vid-Biz: Akamai, ABC, Blu-Ray « NewTeeVee Thu, 31 Jul 2008 20:43:01 +0000 http://gigaom.com/?p=16071#comment-891536 [...] Google Eyeing a VC Arm? Speculation is high that the company will create an investment unit; till now the company has made numerous investments, including $5 million to Chinese P2P company Xunlei. (GigaOM) [...] [...] Google Eyeing a VC Arm? Speculation is high that the company will create an investment unit; till now the company has made numerous investments, including $5 million to Chinese P2P company Xunlei. (GigaOM) [...]

]]> By: Libran Lover http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/#comment-891490 Libran Lover Thu, 31 Jul 2008 17:26:29 +0000 http://gigaom.com/?p=16071#comment-891490 You wrote: "The downside of setting up a formal investment arm is that investing in startups is a long-term effort and many public companies are driven by short-term results. In tough times, it can be hard to write down the value in the portfolio, as Dell and Boeing discovered after the crash. They have both discontinued their strategic investment groups." And you wrote: "I’m not terribly optimistic that Google has the discipline to handle strategic investing, or even if it really should." I am quite surprised to read this. Google has always said that they don't do anything for simply short term profits. They have repeatedly said that they are in it for the long haul and don't worry too much about short term profit and loss. Google is yet to monetize some of their most famous acquisitions such as Youtube, Grand Central and Android. Yet, these are extremely important strategic acquisitions. I'd say the same about what Google is attempting to do in the energy sector. So, I don't know why you are not optimistic about Google's strategic investing. You wrote: “The downside of setting up a formal investment arm is that investing in startups is a long-term effort and many public companies are driven by short-term results. In tough times, it can be hard to write down the value in the portfolio, as Dell and Boeing discovered after the crash. They have both discontinued their strategic investment groups.”

And you wrote: “I’m not terribly optimistic that Google has the discipline to handle strategic investing, or even if it really should.”

I am quite surprised to read this. Google has always said that they don’t do anything for simply short term profits. They have repeatedly said that they are in it for the long haul and don’t worry too much about short term profit and loss. Google is yet to monetize some of their most famous acquisitions such as Youtube, Grand Central and Android. Yet, these are extremely important strategic acquisitions. I’d say the same about what Google is attempting to do in the energy sector. So, I don’t know why you are not optimistic about Google’s strategic investing.

]]> By: Who is Farhan Lalji? » Can corporate venturing work? http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/#comment-891483 Who is Farhan Lalji? » Can corporate venturing work? Thu, 31 Jul 2008 17:06:37 +0000 http://gigaom.com/?p=16071#comment-891483 [...] I was interested to see that there’s talk that Google will be launching a corporate VC arm. Google’s got a history of doing things well, so we’ll see if they can make it work. But I [...] [...] I was interested to see that there’s talk that Google will be launching a corporate VC arm. Google’s got a history of doing things well, so we’ll see if they can make it work. But I [...]

]]> By: Farhan Lalji http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/#comment-891481 Farhan Lalji Thu, 31 Jul 2008 16:53:54 +0000 http://gigaom.com/?p=16071#comment-891481 Thing I don't get is how does Google plan on exiting these investments (if it truly is a VC arm then exits would matter), and how will the market treat some of these investments. Thing I don’t get is how does Google plan on exiting these investments (if it truly is a VC arm then exits would matter), and how will the market treat some of these investments.

]]> By: Syed http://gigaom.com/2008/07/31/google-eyeing-a-vc-arm/#comment-891446 Syed Thu, 31 Jul 2008 14:02:41 +0000 http://gigaom.com/?p=16071#comment-891446 If Google uses the same old strategy used by Intel, Dell and Boeing, they might end up with the same results as the old ones - because Walls Street mainly works on short term profits. It might be better for google to use its investment arm to focus on emerging markets and identify strategies (eg. Grameen Bank) that have the potential to be a killer idea. If Google uses the same old strategy used by Intel, Dell and Boeing, they might end up with the same results as the old ones - because Walls Street mainly works on short term profits.

It might be better for google to use its investment arm to focus on emerging markets and identify strategies (eg. Grameen Bank) that have the potential to be a killer idea.

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