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The Environment Could Be Google's Next Big Idea

Posted on Thu Oct 2 2008
By: in ,

I can't see all the brainiacs at Google working on this one, but even if the tech behemoth invests some effort on the green challenge, it's a welcome sign. And Google has been listening. It's a long leap from bits and bytes to the environment but Google is not shying away. Google Inc is now using its deep pockets to fund green technology and using its brand power to lobby for policy change.

This Wednesday, Google took a proactive initiative to wean the United States off burning coal and oil for power by 2030, and cut oil use for cars by 40 percent. The bill might add up to trillions of dollars, but Google believes it's a sound investment for the future.

Chief Executive Eric Schmidt drew some parallels between the current financial crisis and its cost with the energy crisis.

"There is an equivalent scale problem in energy."

Google's energy plan envisages stricter building codes, a commitment to wind and solar tax credits that have lapsed in the past, and a price on carbon through cap-and-trade or tax.

Google's social face through Google.org is arming start-ups designing wind, solar and geothermal technologies. This they hope will eventually be cheaper than coal. Google invested $45 million in such companies this year. Google seems to be walking its own talk as it is improving its servers and its buildings, identifying $5 million in building efficiency investments that will pay for themselves in two and a half years.

According to Google, new efficiency standards for computers could cut power consumption by the equivalent of 10 to 20 coal-fired plants by 2010. Google is working with GE to improve grid technology. Google has called for more smart meters and real-time pricing to let people see how much energy they use and what it costs them.

With the environment becoming a vogue topic and a virgin territory for new businesses and technologies, could this be a publicity stunt from a company which believes in the cutting edge? Chief Executive Eric Schmidt said that undoubtedly there was a branding benefit but Google's philosophy was the riding factor in the green initiatives launched by the company. At the time of its first initial public offering of shares, founders Larry Page and Sergey Brin pledged about 1 percent of Google's equity -- 3 million shares -- plus 1 percent of profits to philanthropy. Two years later, in 2006, Google converted 300,000 shares into about $90 million to set up Google.org.

Looking at the immediate horizon, Google's contribution seems like a veritable drop in the ocean but a drop which is welcome. And if Google can translate some of its successes in the cyber world to the real world it would have setup another act to follow.

Source: Flickr.com



















1 Comments so far!!

1
Google is so big and worth so much money that for them to put it took good work is a great idea. I would love to hear how this evolves in the future.
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