Google's Unique Philanthropy

This article, from the New York Times, is a very interesting look at Google.org, the philanthropic arm of Google. What makes it unique and questionable to some is that is a for-profit philanthropy. That allows it "to fund start-up companies, form partnerships with venture capitalists and even lobby Congress."

One of the projects mentioned in the article, which helps to explain what they are hoping to do as a for-profit philanthropy, is the development of "an ultra-fuel-efficient plug-in hybrid car engine that runs on ethanol, electricity and gasoline."

Google.org was formed at the end of 2004. Prior to the IPO of Google stock, the founders informed potential investors that their intention was to put aside 1% of both stock and profits toward philanthropy.

I'd like to leave this with a quote that is refreshing to read in 'mainstream' media - of course, it comes from a president of a foundation. The quote comes when discussing the fact that unlike most businesses, Google.org won't have the pressure to earn profits (though the hope will be that there will be profits to filter back into the philanthropy's coffers), which will help its mission to "tackle poverty, disease and global warming". Peter Hero, president of the Community Foundation of Silicon Valley said, “I think how you count profit is the issue here. Google.org is measuring return on cleaner air and quality of life. Their bottom line isn’t just financial. It’s environmental and social.”