Amir Efrati of Wall St. Journal reports that Google is planning to be aggressive this year with mergers and acquisitions in the Internet technology space. The Journal reports that Google made 48 acquisitions last year and Google is not worried about high valuations for Internet start-ups.
Rather than focus on larger opportunities such as their failed attempt to purchase Groupon for a multi-billion valuation, Google will focus on smaller start-ups. Google has a market valuation of about $200 Billion and they are in a great position to acquire leading edge companies that come with top notch programmers.
The Journal spoke with Google’s VP of Corp Development David Lawee, who stated “If you’re en entrepreneur and you come to Google, your days as an entrepreneur are not over,” he said. “Bringing small entrepreneurial teams into Google who have a strong vision for what they want to do has been highly successful for us.”
I believe Google will be a great growth vehicle for many Internet technology entrepreneurs and they are creating an environment for entrepreneurs to stay independent and passionate to succeed. The Google currency is a great way to do this and it would not surprise me to see Google make over 100 acquisitions this year, which would be terrific for this sector.