Google Encourages Ventures To Turn Employees Into Entrepreneurs

Google has started an incubation program to help its workers found startups

Google is interested in keeping workers who want to establish their own company or enter a successful startup. So, it might establish an “in-house incubator” allowing Google workers to establish their startups inside the organization.

Codenamed “Area 120,” the initiative will be headed by the organization’s Vice President of Corporate Development and Bradley Horowitz, who runs Streams and Photos, revealed a technology industry publication, The Information.

 Information is being worked out, but the employees of the company will probably disclose their business plans to the incubator and, if ratified, can build on their own for months. Groups can follow by inviting Google to initially invest in the start-up.

Silicon Valley is full of companies running after ‘the next big thing’ – whether it is drones, augmented or virtual reality, artificial intelligence, or anything even more future-oriented. Huge companies such as Google risk missing out.

Former employees of Google have established huge companies like Instagram and Twitter. Building a program to reach the ground floor might let the Larry Page’s company retain those kinds of budding companies. Historically, incubators have not succeeded.

They are frequently not easy to implement within huge organizations with established bureaucracies. The “Area 120” program will probably make efforts to capitalize on the unique culture of the organization and learn from the most successful incubator of the Silicon Valley.

The Information told this established in-house incubator could be viewed as an expansion of the noted 20% time of Google – the idea that the workers of the organization can allocate one-fifth of their time to work on their own independent ventures.

Similarly, the organization is thinking to have “entrepreneurs in residence”— experienced founders who have managed their owned companies successfully – involved for additional guidance. Many companies are quite interested in startups – corporate project investment reached 15 years high in 2015, revealed National Venture Capital Association. 

Such incubators can be crucial in the quest of the company for innovation. It is a thing to inject cash into a current startup, said managing director of Menlo Ventures Matt Murphy. It requires a very different set of skills to incubate an emerging company or help its founder to turn his or her idea into a business.

The new incubation program could let Google prevent brain drain. Google has refused to comment. Shell, Nike, Samsung and AT&T have introduced similar programs in the past times.

Organizations expect these initiatives will help the development of new technology as well as new businesses with which they can collaborate with or takeover, whereas the founders can benefit from the brand name, personnel and technology of the company in the ideal manner.