Google leverages its alumni network to launch a new incubator for AI startups.

      Google is creating an incubator for AI startups that leverages its network of former employees, referred to as "Xooglers," as reported by Bloomberg. The idea is straightforward: as some of the firm’s most talented individuals depart to create their own AI businesses, an incubator centered around alumni keeps Google connected to them and whatever they develop next. This initiative complements existing frameworks established by the company.

      Google operates the AI Futures Fund, a collaborative project between Google DeepMind and Google Labs that combines equity funding with technical support and early access to DeepMind’s models, typically co-investing up to about $2 million in early-stage frontier startups. Additionally, the Google for Startups accelerators offer equity-free support and are cohort-based. An alumni incubator would introduce a third route specifically targeting individuals familiar with Google’s operations due to their previous employment.

      The practical appeal of this focus is evident: former employees require no onboarding to the company’s systems, researchers, or models, which streamlines the relationship-building process and facilitates quicker utilization. This initiative addresses the ongoing talent exodus. Former workers from Google and DeepMind, along with alumni from OpenAI, Anthropic, and xAI, have accumulated hundreds of millions of dollars for ventures that are only a few months old.

      Venture capitalists have invested approximately $18.8 billion into AI startups established since the beginning of 2025, predominantly targeting names recognizable from the labs that developed today’s cutting-edge models. For a company witnessing senior researchers leave to start their own operations, an incubator represents a strategy to transform a loss into an early-stage investment.

      These departures are not merely theoretical. David Silver, a key player behind AlphaGo, left DeepMind to establish Ineffable Intelligence, a venture supported by Sequoia and Nvidia valued at around $5.1 billion before delivering much of anything. A different group of ex-DeepMind founders raised $20 million for Airspeed’s AI sales agents. Additionally, Nobel laureate John Jumper departed DeepMind for Anthropic, illustrating that the allure is not solely towards entrepreneurship but also towards competition.

      In this context, an incubator appears both defensive and opportunistic. If the most ambitious individuals are going to leave regardless, Google would prefer to be the initial investor and top technical partner rather than a passive observer of future funding rounds. This reflects the broader spending philosophy of the company; DeepMind’s CEO has indicated that Google intends to outstrip Microsoft in AI investments, and an alumni program extends that vision from infrastructure to entrepreneurs.

      There is a neat symmetry in this setup. The individuals most likely to depart a frontier lab are typically those who understand its tools best, making them precisely the founders a frontier lab would most want to support. An incubator that keeps alumni within Google’s sphere, with access to resources and capital, diminishes the cost of departure while retaining the company’s claim on potential rewards.

      Whether former employees view it this way, or if they prefer the independence that initially attracted them away, remains to be seen. The company is reportedly working on the incubator, but details concerning its structure, fund size, investment amounts, and launch timing have yet to be revealed. Google has not provided any public statements.