The venture arm of Alphabet Inc — CapitalG, previously known as Google Capital — is quietly making inroads into the mobile messaging service arena and has invested in Snap Inc, the company which owns Snapchat.
Rumors were rife in 2013 that Google attempted to acquire Snapchat for $4 billion, and now it seems that its parent company Alphabet's venture capital arm CapitalG has managed to sink its teeth into the company.
For the unfamiliar, Snapchat is one of the most popular messaging apps around. Its popularity with millennials largely hinges on the fact that users can share photos on their smartphone, which can disappear in an instant after opening.
On Nov. 4, the fact that CapitalG had invested in Snap came to light once the former announced its rebranding in a social media post and covertly included Snapchat's logo in the portfolio section of the website.
"CapitalG invests in people who are passionate about using technology to change the way we live and companies that are harnessing the technologies of tomorrow. We meet with entrepreneurs from all over the world and are currently partnering with companies in the USA, China and India," notes the portfolio section.
The Snapchat icon, with its ghost imprint against a yellow backdrop, can be seen nestled between the Airbnb and MultiPlan logos. Several other companies that have financial backing from Alphabet, such as Glassdoor, SurveyMonkey, pindrop, Practo and more, are also listed on the page.
Interestingly, when you click on the logos of other companies on the CapitalG portfolio page, you are directed to additional details on the company in focus. However, when you click on the logo particularly for Snapchat, there is no additional info.
There is no mention of Snapchat anywhere else on CapitalG's website either. This could be because CapitalG has not officially announced that it has invested in Snap, and it is unclear as to when Google had actually invested in the company. Details of how much money CapitalG has pumped, or will be pumping, into Snapchat as part of the investment is also not known.
Google did not offer any detailed insights on the rebranding of Google Capital to CapitalG and merely announced the change in a post on Google+.
"Though our name has changed, our goal remains the same: to make returns-driven investments in leading companies around the world and help entrepreneurs rapidly grow their businesses," wrote CapitalG.
The old domain GoogleCapital.com will now redirect you to CapitalG.com, and one can also stay updated with a @CapitalGTweets account, which replaces the Twitter account for Google Capital.
Hopefully, CapitalG will soon spill the beans on the amount it has invested in Snap Inc., along with other details of the investment.