Smartphone manufacturers want to reduce the time, or "friction" needed to input data, as a way of freeing up users to do more browsing, buying, and watching.

WSJ: The Future of Typing

This real-time aspect removes a lot of friction photo sharing process, Gil says.

FORBES: Viewdle's SocialCamera App Tags And Learns Your Friends' Faces

At the same time, getting involved with startups can create friction with other investors.

FORBES: Corporate Venture Funds Increasingly Important To Startups

"Eric's point of view didn't necessarily jibe with theirs all the time, and that's where the friction arose -- in China, in privacy matters in Europe, " he said.

CNN: Why did Google's Eric Schmidt step down?