Before Google got swallowed up by Alphabet [NASDAQ: GOOG] , its new parent company, one thing was unique about Google. The company has a 20% policy for all its employee to do what they are passionate about.
Well, it seems Alphabet is now putting more structure behind the arrangement. The company has just launched ‘Area 120’. The platform is to give talented Google employees the opportunity to develop their ideas while still working in Google.
Employees will be allowed to pally up as teams, develop business plans, pitch it to Google for funding. Google plans to make the platform an opportunity for it not just to keep talents within the group but a way of latching on innovative ideas from staff who do not necessarily want to be with the company for ever.
The company has already appointed two of its veteran staff to head the division. It plans to make it an opportunity for the company to be a powerhouse of innovation. It should be noted that key products of Google such as GMail and AdSense were products of the 20% time policy of the company.
Google is in serious need for innovation. Alphabet released its quarterly earning last Thursday and its profit missed estimate. Moves like this is a step in the right direction. However, startups especially those with less integration with Google’s search and advertising are not turning in profit as expected.