All Things Digital

Who says Google (GOOG) is hoarding Silicon Valley’s tech talent? In August of 2007, Gideon Yu, a Valley train-hopper with stints at Yahoo (YHOO) and then YouTube, resigned from his position at the video-sharing site shortly after it was acquired by the search engine to become CFO of Facebook. A few months later, Benjamin “bling” Ling, described as one of “Larry and Sergey’s golden boys,” left Google to run Facebook’s platform program. Then this past March, Sheryl Sandberg, Google’s vice president of global online sales and operations, bailed to join the social network as chief operating officer. Ethan Beard, Google’s director of social media, followed shortly after, taking a job as Facebook’s director of business development.

Now another prominent Googler has train-hopped to the popular social-networking company as well. As first reported by BoomTown, Elliot Schrage, vice president of global communications and public affairs at Google, is leaving the search sovereign to become Facebook’s vice president of communications and public policy.

“[Elliot Schrage] will be responsible for developing the key messages we want people to understand about our products, our business and the growing global importance of social networking and what we do,” Facebook CEO Mark Zuckerberg said in an email to employees announcing the hire. “The goal here is to help people understand how the Internet can strengthen people’s relationships. Elliot will direct our efforts to work with users, media, governments and other entities around the world to ensure that Facebook’s policies are transparent, responsive, effective and are recognized as being those things. … This is a really important role for us and one that we’ve been trying to find the right person for a while. Elliot’s role will be critical to helping us scale based on our culture that values transparency, openness and honest internal communications.”

“Elliot’s role will be critical to helping us scale based on our culture that values transparency, openness, and honest internal communications”?

Clearly, Zuckerberg meant “build from the ground up a culture that values transparency, openness and honest internal communications.” Because it’s only been about six months since the Beacon fiasco, which demonstrated how grievously the company was lacking in those qualities (see “DiaperFetishFactory.com Is Sending a Story to Your Profile,” “Epicurious Has Added a Potential Privacy Violation to Your Facebook Profile,” “Fiascobook,” and “Fiascobook, Redux“).

Perhaps if Facebook recruits enough former Googlers, it too will be able to lay claim to a silly informal motto like “Don’t Be Evil.”

Veteran executive Sheryl Sandberg wasn’t the only thing Google (GOOG) lost today. It lost a fair bit of value in share price as well.

Google’s stock fell as low as $435.78 at one point, slipping below the company’s 52-week low of $437, set nearly one year ago on March 5, 2007.

Wonder if falling to your 52-week low is psychologically as important a milestone as passing the $700-a-share mark?

Well, veteran Google employee Sheryl Sandberg found a good use for her “20% time”: interviewing for the COO spot at Facebook. In news first reported on All Things Digital by BoomTown’s Kara Swisher, she’ll join the social network later this month as chief operating officer.

Quite a coup for Facebook. As Google’s vice president of global online sales and operations, Sandberg managed the division that handles sales for about 99% of the company’s advertisers. Her absence at Google (GOOG) will almost certainly be felt as deeply as her presence at Facebook, which stands to benefit a great deal from her experience building Google’s online sales and operations organization. Said Facebook CEO Mark Zuckerberg, “She has just about the most relevant industry experience for Facebook, especially since we need to scale our operations and scale them globally.”

Interesting to see a Google veteran like Sandberg jump ship for Facebook. Especially after the departures of
Gideon Yu, now Facebook’s CFO, and Benjamin Ling, who heads up Facebook’s developer platform. Perhaps the search giant is beginning to suffer from the same sort of brain drain it brought to bear on the industry a few years back. Recall this 2005 quote from LinkedIn founder Reid Hoffman?

Google is doing more damage to innovation in the Valley right now than Microsoft ever did. It’s largely that they’re hiring up so many talented people, and the fact they’re working on so many different things. It’s harder for start-ups to do interesting stuff right now.”