Google has joined the $250 million sFund, which was started by Kleiner-Perkins a year ago to invest in small social networking companies.It’s strange to think Google wasn’t involved at launch, as Facebook, Amazon, and Zynga were.
But a year ago when the fund was announced, Google was nowhere in social networking — Wave was a disaster and Buzz was dying on the vine. But the company was working behind the scenes on Google+, and it’s been pretty successful since it launched in June, with more than 40 million sign-ups.
So now Google is joining up with the other social giants to get in on hot social startups.
Google’s entry into the fund coincided with its acquisition of Katango yesterday — Katango is the sFund’s first exit. Katango used Facebook data to create circles of friends based on related interests and backgrounds. That will make it a nice fit into Google+, which is organised around Circles of related friends but today doesn’t do a very good job of suggesting new members to add to them.