Saturday, April 4, 2009

The Wiki model extended to business

Google announces the launch of Google Ventures - a Mio. 100$ venture capital fund aiming at supporting remarkable private business initiatives from any industry.

It seems like the most logical and natural growth opportunity for Google, who is reaching saturation in terms of revenues from online search.
If you look at the concept as an "Outsourcing plan" for R&D and Project Management activities, the idea is outstanding. Why managing internally teams of american or western european programmers or managers, when chinese, indians, eastern europeans or south americans may come up with better ideas, higher motivation and besides all, share your risk and bear some of the costs.

My bet is that in 5 years time, Google Ventures will generate more profit for Google Inc. than the current activities.

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