TELECOM Digest OnLine - Sorted: Google Buys Garage Where its Empire Began

Google Buys Garage Where its Empire Began

Michael Liedtke, AP (
Mon, 02 Oct 2006 12:02:48 -0500

By MICHAEL LIEDTKE, AP Business Writer

Internet search leader Google Inc. has added a landmark to its rapidly
expanding empire; the Silicon Valley home where co-founders Larry Page
and Sergey Brin rented a garage eight years ago as they set out to
change the world.

The Mountain View-based company bought the 1,900-square-foot home in
nearby Menlo Park from one of its own employees, Susan Wojcicki, who
had agreed to lease her garage for $1,700 per month because she wanted
some help paying the mortgage.

Wojcicki, now Google's vice president of product management, didn't
work for the company at the time and only knew the Stanford University
graduate students because one of her friends had dated Brin.

During Google's five-month history there, the garage became like a
second home for Page and Brin.

The entrepreneurs, then just 25, seemed to be always working on their
search engine or soaking in the hot tub that still sits on the property.
They also had a penchant for raiding Wojcicki's refrigerator -- a habit
that may have inspired Google to provide a smorgasbord of free food to
the 8,000 employees on its payroll.

When Page and Brin first moved in the garage, Google had just been
incorporated with a bankroll of $1 million raised from a handful of
investors. Today, Google has about $10 billion in cash and a market
value of $125 billion.

The company's astounding growth has imbued its birthplace with the
same kind of mystique attached to other hallowed Silicon Valley spots
like the Palo Alto garage where Hewlett-Packard Co. started in 1938
and the Los Altos garage where Steve Jobs and his partner Steve
Wozniak first began to build Apple computers in the 1970s.

HP paid $1.7 million for 12-by-18-foot garage that co-founder William
Hewlett first rented for $45 per month.

Google declined to reveal how much it paid for its original home, but
similar houses in the same neighborhood have been selling in the $1.1
million to $1.3 million range. That's a small fraction of the $319
million that Google paid earlier this year for its current
1-million-square-foot headquarters located six miles to the south.

Although the Google garage isn't considered a historic site quite yet,
it already has turned into a tourist attraction.

The busloads of people that show up to take pictures of the house and
garage have become such an annoyance that Google asked The Associated
Press not to publish the property's address, although it can easily be
found on the Internet using the company's search engine.

Google may use the home as a guest house, but nothing definitive has
been worked out. "We plan to preserve the property as a part of our
living legacy," said Google spokesman Jon Murchinson.

Copyright 2006 The Associated Press.

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