Additionally, small and vulnerable seed companies are very wary of exposing their technology, business models, etc. to corporate investors. Series A/B companies are a little less wary because of their VC/Institutional partners, but Seed companies are very leery of any outside entities.

The Google Fund should be designed to be a 2 part initiative with distinct processes and metrics: one part for the Seed and one part for the Series A/B.

We have seen in past, how Yahoo and Microsoft is struggling for its
share in this market and time is not very far, when Google would
be there like a Mega Giant, unless and until people like us tend to
think about Information system for every enterprises and find a way
to fund and expand business, rather than asking Google to do it…..

Right now if someone approaches them with something that is interesting their only option is to acquire it, and bring it into the fold. If the product is far along that is great and the Google team and infrastructure can help push it out fast and big.

If the idea is promising but unproven they are best to let it incubate further in a start-up mode. If it eventually takes off they obviously get first choice on acquisition and if it is a dud there won’t look silly for acquiring junk.

The question for anyone who takes money from this is what would your exist options be if Google did not acquire you. Could they risk giving something of value to their competitors by letting them acquire what they did not want?