Google donates $2.35 million to Atlanta Black-owned tech firms

This week Google announced that it would donate $2.35 million to several Black-owned tech firms across Atlanta. These selected startups are recognized as the next Silicon Valley for Black-owned startups.

The move is part of Google’s plan to help in the fight against systemic racism racial wealth disparity which was brought to the limelight following the unlawful death of George Floyd. The ongoing coronavirus pandemic also revealed that Black businesses were the hardest hit, having little or no idea about how to recover from the impact of the pandemic.

The funds for the selected Black-owned tech startups will be distributed through the Black Founders Fund across 36 businesses based in Atlanta. Google has also assisted the fund to invest in more than 70 startups across the United States, investing a total of $5 million to help small businesses continue to grow amid the pandemic.

Some of these Atlanta-based businesses that will benefit from Google’s funding programs include Origyn, Portrait Coffee, Healthy Hip Hop, Just Add Honey, Vibe Ride, TruDiary, LVNGbook, Mar Dat, Lain London, and Jax Rideshare.

“We are committed to helping Black founders who have been deeply impacted by COVID-19 and who are disproportionately locked out of access to the funding they need to succeed,” said the head of Google for StartUps US, Jewel Burks Solomon. “By combining cash awards with Google for Startups mentorship and programming, we hope to help create a more level playing field for these founders, who are building amazing companies and making an impact on their communities.”

According to a publication by the Harvard Business Review, Black founders make up for only less than 1 percent of venture capital recipients. Hence, the Black Founders Fund was created to provide a solution to the lack of access to VC funding.

The founder of Portrait Coffee, Aaron Fender said Google’s funding program for Black-owned startups will have a significant impact on the growth of his company. “This capital and support come at a critical time, allowing us to hire more team members and purchase additional manufacturing equipment to support our growing business,” he said.

The Google funding program for Atlanta-based startups’ announcement came with the tech giant’s announcement of a new partnership with Thrugood Marshall College Fund to create more Google digital skills workshops for HBCUs across the country. This move is part of Google’s $175 million commitment to end racial inequity which was pledged in June this year.

So far, there have been many efforts to promote black businesses and advocacy against racial wealth disparity. Black celebrities such as Beyoncé, LeBron James, Tyler Perry have teamed up with big organizations to provide funding for Black businesses. Big organizations like Facebook, Amazon, JPMorgan, etc. have also created grant and loan programs to help keep minority-owned businesses afloat amid the global pandemic. In July, Beyoncé partnered with the NAACP to create a grant campaign for black-owned small businesses, it was called the Black-Owned Small Business Impact Fund. Through the campaign, many Black-owned businesses in Houston, Los Angeles, Atlanta, New York, and Minneapolis received $10,000 in grants.