Google is planning to spend that much to solve 3 problems: global warming, poverty and public health.
Here is an interview on Wired with Larry Brilliant, who is in charge of Google.org.
My first reaction is how we can be part of it. Not for the money but the future.
On Google.org, here is what they say, "We hope that someday this institution will eclipse Google itself in overall world impact by ambitiously applying innovation and significant resources to the largest of the world's problems."
It is moving to see corporation who has resource take on it as their responsibilities.
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