Some interesting speculation/rumors
Adam D’Angelo, involved in Facebook early on
Here is what I’ve pieced together from some reliable sources:
• This is not a rumor. This is a real project. There are a large number of people working on it. I am completely confident about this.
• They realized that Buzz wasn’t enough and that they need to build out a full, first-class social network. They are modeling it off of Facebook.
• Unlike previous attempts (before Buzz at least), this is a high-priority project within Google.
• They had assumed that Facebook’s growth would slow as it grew, and that Facebook wouldn’t be able to have too much leverage over them, but then it just didn’t stop, and now they are really scared.