Google’s venture arm, Google Ventures, is the proud recipient of $1.5 billion dollars in capital to invest in startups through 2017. Google Ventures has been the venture arm of the search and web giant since 2009. A mix of great entrepreneurs are involved with Google Ventures including Rich Miner one of the co-founders of Android and Kevin Rose (or is he).
While Google is known for their acquihires to bring talent from strategically related startups into the Google umbrella, Google Ventures is investing in startups for financial reasons and not necessarily for strategic partnerships. Some of their investments to date include HomeAway, Nest Labs and 23andMe.
The $1.5 billion dollar commitment is $100 million dollars more per year than Google Ventures has had in the past. Traditionally they’ve had $200 million a year to invest. That brings 2012 to $300 million, along with 2013 and the remaining years after that through 2014.
Google Ventures managing partner Bill Maris told the Wall Street Journal’s, Venture Capital Dispatch, that it took about 30 minutes to convince the powers that be at Google to up the ante. Maris is also very confident in the fund, telling the Journal “We will not invest in any company that tanks”
In addition to the investment Google Ventures now offers their portfolio companies a whole suite of services like design, marketing and technical recruiting. Of course all of these are resources that Google is very good at already.
The increase in funding was announced via a tweet last Thursday at a gathering in Mountain View of 100 Google Ventures portfolio companies.
Source: WSJ Venture Capital Dispatch