Google packages $800M loan facilities to help governments, SMEs, and NGO fight COVID-19

Google’s Sundai Pichai announced that the company has set aside $800M to offer advertising loan facilities to governments, small businesses, and NGOs in the fight against COVID-19.

Here’s a full breakdown

  • Google will be giving $250 million worth of ad grants to more than 100 government orgs across the globe, including the World Health Organization.
  • A total of $340 million will be seeded in ad credits to small businesses with accounts that have been active in the past year. The credits are good through the end of the year.
  • $20 million worth of Google Cloud credits will be given to academic institutions and researchers that are tackling COVID-19.
  • $200 million will go to an investment fund for nonprofits and financial institutions to provide small businesses with loans.
  • Google further reiterated they will continue to invest in helping suppliers scale up production of face masks and other personal protective equipment.

So what’s Google getting from all of these.

As businesses have taken a hit and temporarily closed, so have their as campaigns be shut down too, meaning Google is feeling the hit, giving some ads away for free will ensure that their ads dashboard stays very active in this period and will benefit the company some goodwill too. So good PR.

Giving advertising grants away to government could be beneficial in the long run making some lobbying smoother.

By giving products away to the academic world it could potentially earn Google some market share away from Microsoft’s Azure and Amazon’s AWS who lead the way in cloud computing, an area Google hopes to be a big player.

And the grant to help small businesses is just good CSR for such a global organisation.

It wouldn’t be far fetched if Microsoft, Facebook, Apple and maybe even Amazon follow with their own grand gesture too.

Pandemic or not, business must go on and as such the competition continues with the classic trend of companies borrowing ideas from each and repackaging it as their own. Fingers crossed.