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Area120, even with the previous cuts, was full of talented people with a background in building businesses and VC investments. It was a pretty unceremonious end

Area120, even with the previous cuts, was full of talented people with a background in building businesses and VC investments. It was a pretty unceremonious end to what was originally considered an important part of Google's innovation strategy. Separately it'll probably get less coverage than things like the incubator shutting down, but I suspect more external impact will be felt as a result of them firing the head of Open Source who's been there for 19 years. :/ Tech press hasn't picked that up yet though.

bushbaba 4y ago
A120 was never considered important to google innovation strategy. In fact what did it accomplish for the business. Google would have a better roi giving the money to Google Ventures or a16z. Or starting a private equity like firm adding notable startups to the alphabet portfolio. A120 was a sinking ship for a while
- KKKKkkkk1 4y ago
  > Google would have a better roi giving the money to Google Ventures or a16z. Is there any evidence that Google is better at managing money than its investors, say Warren Buffett? If not, they should raise their dividends instead.
  - bushbaba 4y ago
    Google is likely not better at managing their money than investors. But once you issue dividends there is an expectation the dividend amount remains. Google did do share buybacks which is generally a more efficient way to return money back to shareholders. Alternatively if google is viewed as a growth tech stock. I think people would trust google to make investments into growth tech startups. Google ventures performance is pretty decent.
  - seanhunter 4y ago
    Very little. In fact, in my interactions with them when Google Ventures were looking at a possible investment in a company I worked for I would say they stood out as by far the least technically-competent VCs we spoke to, and we spoke with everyone you might expect from the valley as well as several family offices and other investors. They definitely rated themselves highly though.
ninjin 4y ago
> …I suspect more external impact will be felt as a result of them firing the head of Open Source who's been there for 19 years. :/ Tech press hasn't picked that up yet though. https://en.wikipedia.org/wiki/Chris_DiBona https://en.wikipedia.org/wiki/Chris_DiBona
- igetspam 4y ago
  Wow. That's a little bit surprising but not entirely. Chris' role could easily be put in a "non essential" bucket because it's an advocacy position more than anything else (unless he's doing something different these days). I would be surprised if didn't have advanced conversations though.
- AlbertCory 4y ago
  I knew Chris quite well; almost went to work for him. He was a real leader in Open Source and a master of all its licensing complications. That's knowledge that's not easily duplicated.
brookst 4y ago
Google doesn’t need an innovation strategy. They innovate lots, constantly. Google needs a strategy strategy. They have corporate ADHD and shiny object syndrome at a massive scale. IMO they are perpetually confused because of the fundamental conflict between a culture of brilliant creative people and the core corporate mission to make ads more pervasive in our lives.
- warent 4y ago
  So basically they need to replace Sundar
  - dougmwne 4y ago
    Sundar has been hired by the voting share owners, Larry and Sergey to run their company. This is 100% their fault for being uninterested in the company they control.
- jeffreyrogers 4y ago
  Their strategy seems to be working. They have a massively profitable business and are the 4th largest company in the world.
  - brookst 4y ago
    Yes, they are an incredibly successful cash cow, and I expect them to make great profits for many years. But they like to act like they aren’t at the terminal stage of development, and it causes confusion and customer upset and layoffs.
  - SQueeeeeL 4y ago
    That "look the line goes up so we must be doing good" is what caught Kodak. No one ever deserves success, and companies that stop focusing on being good will get caught slipping by more focused competitors
  - pjmlp 4y ago
    Tell that to the AAA studios that ignored Stadia based on Google's fame.
deleted 4y ago
[deleted]
Beaver117 4y ago
At least they're not just laying off lower level people. Layoffs should effect every level.

bushbaba 4y ago

A120 was never considered important to google innovation strategy. In fact what did it accomplish for the business. Google would have a better roi giving the money to Google Ventures or a16z. Or starting a private equity like firm adding notable startups to the alphabet portfolio. A120 was a sinking ship for a while

KKKKkkkk1 4y ago
> Google would have a better roi giving the money to Google Ventures or a16z. Is there any evidence that Google is better at managing money than its investors, say Warren Buffett? If not, they should raise their dividends instead.
- bushbaba 4y ago
  Google is likely not better at managing their money than investors. But once you issue dividends there is an expectation the dividend amount remains. Google did do share buybacks which is generally a more efficient way to return money back to shareholders. Alternatively if google is viewed as a growth tech stock. I think people would trust google to make investments into growth tech startups. Google ventures performance is pretty decent.
- seanhunter 4y ago
  Very little. In fact, in my interactions with them when Google Ventures were looking at a possible investment in a company I worked for I would say they stood out as by far the least technically-competent VCs we spoke to, and we spoke with everyone you might expect from the valley as well as several family offices and other investors. They definitely rated themselves highly though.

ninjin 4y ago

> …I suspect more external impact will be felt as a result of them firing the head of Open Source who's been there for 19 years. :/ Tech press hasn't picked that up yet though. https://en.wikipedia.org/wiki/Chris_DiBona https://en.wikipedia.org/wiki/Chris_DiBona

igetspam 4y ago
Wow. That's a little bit surprising but not entirely. Chris' role could easily be put in a "non essential" bucket because it's an advocacy position more than anything else (unless he's doing something different these days). I would be surprised if didn't have advanced conversations though.
AlbertCory 4y ago
I knew Chris quite well; almost went to work for him. He was a real leader in Open Source and a master of all its licensing complications. That's knowledge that's not easily duplicated.

brookst 4y ago

Google doesn’t need an innovation strategy. They innovate lots, constantly. Google needs a strategy strategy. They have corporate ADHD and shiny object syndrome at a massive scale. IMO they are perpetually confused because of the fundamental conflict between a culture of brilliant creative people and the core corporate mission to make ads more pervasive in our lives.

warent 4y ago
So basically they need to replace Sundar
- dougmwne 4y ago
  Sundar has been hired by the voting share owners, Larry and Sergey to run their company. This is 100% their fault for being uninterested in the company they control.
jeffreyrogers 4y ago
Their strategy seems to be working. They have a massively profitable business and are the 4th largest company in the world.
- brookst 4y ago
  Yes, they are an incredibly successful cash cow, and I expect them to make great profits for many years. But they like to act like they aren’t at the terminal stage of development, and it causes confusion and customer upset and layoffs.
- SQueeeeeL 4y ago
  That "look the line goes up so we must be doing good" is what caught Kodak. No one ever deserves success, and companies that stop focusing on being good will get caught slipping by more focused competitors
- pjmlp 4y ago
  Tell that to the AAA studios that ignored Stadia based on Google's fame.

deleted 4y ago

[deleted]

Beaver117 4y ago

At least they're not just laying off lower level people. Layoffs should effect every level.