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Recreating Silicon Valley
By Adam | April 3, 2007
Once you have identified the DNA of a process, structure, or entity – you can, ‘in theory’, replicate it. This is fundamentally how companies have spread innovation across multiple leadership tenures, geographic regions and strategic regimes.
- You need nerds and rich people to foster startups. Both are at the tipping point of any technology epicenter.
- Nerds like other nerds. Put another way, smart people like other smart people. The best strategy to attract this group is to create an intellectual forum for them to connect. Any would-be tech hub needs to have, or create, a top notch University (or at least - Computer Science Dept.).
- Personality is a key element in creating Valley 2.0. It has to be a place that investors want to live and students want to stay after they graduate. Think old neighborhoods vs. suburbia; think coffee shops vs. clubs; think laid back vs. hustle-and-bustle.
- Startups beget startups. People work for startups then go on to start their own. People who make money from their own startups fund the next generation. This organic growth is the only way to produce a startup hub.
- You can’t create startups, only an environment that breeds them. Government funding and artificially generated tech parks will not create a community. Since the organic growth in #5 takes time, you need patience to grow the next valley.
- You can’t be somewhat of a startup hub. Like the cliché says: you’re either in or you’re out. You either create a startup chain reaction, or you don’t. No middle ground.
- The centralizing effect of VCs must be overcome. Typically, VCs like to be within an hour drive of their portfolio companies. This causes startups up to grow around them, organically and via acquisitions. Though this limits the possibility of starting a new valley, startups with the best people will trump those funded by the best VCs.
- Avoid suburban sprawl. The ‘Achilles Heal’ of
Topics: Ideas |
April 4th, 2007 at 6:42 pm
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April 18th, 2007 at 11:02 pm
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