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Well they grew from 5 to 50 people over a couple years, built up an office space, that's at least a few million dollars (many few) sunk in, and lots of good stuff came out of it They currently have at least 7 developers working on wave protocol if you check the google code page. Here are some of the recent developments:

1. http://code.google.com/p/wave-protocol/ http://www.waveprotocol.org/

2. Wave Protocol summit is in November http://googlewavedev.blogspot.com/2010/10/wave-protocol-summ...

3. Wave in a Box (server + client) (vs Outlook in enterprises?) A very interesting adoption experiment, and if they separate it enough from the cloud, it will be a straight-forward germination in Outlook's market down the road. http://googlewavedev.blogspot.com/2010/09/wave-open-source-n...

4. If they're doing this much in public, you can bet there are a few integration projects at home as well.

http://googlewavedev.blogspot.com/ http://googlewave.blogspot.com/ for Wave updates, definitely isn't dead I would say.




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