Non-competes are a different issue. They are generally unenforceable in California, though exceptions may possibly be made for executives (I'm not sure, and IA

Non-competes are a different issue. They are generally unenforceable in California, though exceptions may possibly be made for executives (I'm not sure, and IANAL anyway). As far as the side-project policy goes, as you say, you have to avoid using company time or equipment. But that's the easy part. The tough one, as nostrademons mentions, is the requirement that the project not be related to the company's R&D ("actual or demonstrably anticipated" I think is the phrase). In the case of Google, almost nothing involving computers will get by that clause.