Google already invests in companies via its Google Ventures arm
Google's cash is burning a hole in its pocket. The company has tens of billions of cash in reserve and there's not that much it can do with it, it's expanding and acquiring new businesses as fast as possible, but it simply doesn't need to spend any more.So the obvious thing to do with the extra cash is to put it to work as it were. Google is said to be working on a late-stage investment fund, to further enhance its venture capital arm.
Google Ventures already burns through $300 million, EUR232 per year, but it focuses on smaller investments and smaller companies.
This new fund would go after the big fish, companies that are already large and need a serious cash infusion. The new fund will be led David Lawee, the current VP of corporate development, i.e. mergers and acquisitions.
Google hasn't confirmed the move, however, it has confirmed that Lawee, is leaving his position to do something else at Google and that his role will be filled by Don Harrison, a top lawyer at Google who is already heavily involved with acquisitions.