http://www.quora.com/Why-havent-major-companies-like-Google-...
"Unless Facebook figures out how to increase their per user monetization by 25x, Facebook would not become a Google sized company. At its current and past monetization rates social networking has not been a very desirable area except as it affects the strategic interests of these companies."
was interesting.
Just because it's an ex-Googler it does not make his (her?) statements the gospel truth.
If there's something to be said, it is that Google underestimated the network effect: that if most of your social circle is on a social network, then you automatically have a large incentive to join it.
Google has a huge range of great tools, all available under a single login, but their presentation is a total mess.
I'd love an opportunity to spend a few months building a better "Google Portal".
Oh, and I don't think anything they make will just grow virally. If they want it, the'll have to buy it. They should spend a bucket-load advertising it in mainstream media.
I don't think Google to this day actually wants to be in social networking; the problem they have with Facebook is they can't index it, they can't be a gateway to Facebook as they are to everything else; Facebook in many ways is the gateway for its users.
(2) Having just one email address lets you connect with everyone you want to connect with—it doesn't matter which provider you choose. Social Networks aren't like that. If there is one that dominates, you can't get on a competing service and get the same utility—the people you want to connect with aren't there. Being an existing provider of a large network is a HUGE advantage.
(3) Facebook has crushed previously successful networks. Expecting a company to create a NEW network to succeed where EXISTING networks lost ground to Facebook is a ridiculously high bar.