Stanford's faculty, students, and alumni played crucial roles in founding numerous high-tech companies, including Hewlett-Packard and Cisco Systems.

[12] The university's proactive policies in allowing faculty to commercialize their research and in taking equity positions in start-ups resulted in substantial financial gains.

[14] In addition to direct donations, Stanford's endowment benefited immensely from its venture capital and private equity investments, particularly those connected to the tech industry.

[17] The creation of SMC aimed to professionalize asset management, bringing in specialized financial expertise to optimize investment strategies and enhance returns.

For instance, Google co-founders Larry Page and Sergey Brin, both Stanford graduates, made significant contributions to the university, further bolstering its endowment.

Notably, Stanford's early investment in Google, when the company was still a small start-up, resulted in a substantial financial windfall that significantly augmented the university's endowment.

[11] In the early 2000s, Stanford's endowment saw substantial growth, spurred by the continued success of Silicon Valley companies and large philanthropic contributions.

[31] Significant contributions during this period included a $100 million donation from Nike co-founder and Stanford alumni Phil Knight in 2011 to establish the Knight-Hennessy Scholars program.

[36] In 2016, Phil Knight made another transformative gift, pledging $400 million to the Knight-Hennessy Scholars program, marking one of the largest donations to any university in the world.

[1] Despite challenges posed by the COVID-19 pandemic in the early part of the decade, Stanford's endowment continued to grow, driven by its strong investment strategy and substantial donations.

The endowment's value reached approximately $34.6 billion by 2022, reflecting the financial markets' strong performance and the university's successful fundraising efforts.

[42] 2022 also saw a $75 million donation by Phil Knight and his wife Penny in support of a multidisciplinary neurodegenerative brain disease research initiative at the university's Wu Tsai Neurosciences Institute.

[43] In 2023, Stanford announced another significant gift of $600 million from venture capitalist Marc Andreessen to support the development of a new engineering complex and fund scholarships for underrepresented students in STEM fields.

[48][49] The endowment has experienced significant growth, particularly during periods of economic expansion, while facing challenges during market downturns, such as the 2008 financial crisis.

It has provided critical funding for scholarships, faculty positions, research projects, and campus infrastructure, enhancing Stanford's ability to attract top talent and remain at the forefront of academic and scientific innovation.

[54][55] SMC's approaches and strategies have influenced endowment management practices across higher education institutions, setting a benchmark for diversification, innovation, and responsible investing.