Google cuts a large part of the budget of ‘lab’ Area 120

New Google products come from Google, of course, but we can be even more specific: Area 120. That is Google’s incubator from which all kinds of experimental new functions arise. However, don’t expect as many products from it as before, because Google has cut its budgets considerably.

Area 120

Area 120 has spawned great Google products. Think of GameSnacks that helped people with poor internet connection to fun games. Many projects are likely to be canceled due to budget cuts. Too bad, because many creative plans came out of Area 120. A number of teams have already heard of their project being canceled or undergoing a reorganization. The number of projects is cut in half from 14 to 7 pieces.

One of the discontinued projects is Qaya, a kind of shopping platform for creatives to sell goods and services. People who have to look for a new job will have until January 2023 to do so. Google believes these layoffs are necessary in a world where the economic outlook is not too good.

Projects deleted

A statement from a Google spokesperson said: “Area 120 is an in-house incubator for experimental new products. The group regularly launches and discontinues projects in view of the most promising opportunities. We recently announced that Area 120 will shift its focus to projects that build on Google’s deep investment in AI and have the potential to solve key user issues. As a result, Area 120 is phasing out several projects to make way for new work. The involved team members receive special support in exploring new projects and opportunities at Google.”

Area 120 is therefore not completely gone: it simply appears to exist in a much smaller form. It is good to read that Google wants to do more with artificial intelligence, because that can help solve various problems. On the other hand, the question is: can it also solve the problem of Area 120 becoming more like Area 60?