Comments on: Does Silicon Valley noise detract from long-term value creation?

By: jeff from pittsburgh

jeff from pittsburgh — Tue, 18 Aug 2009 16:38:32 +0000

Thanks for validating what I already believed.

It feels pleasurable. Like dopamine!

By: ericknudtson

ericknudtson — Thu, 06 Aug 2009 22:35:15 +0000

Great Post! Thank you!

By: Devin Reams

Devin Reams — Thu, 30 Jul 2009 22:40:53 +0000

Great post, Andrew. Well put. Do you have any intention to get back 'out' of the scene? Go back to Seattle, perhaps?

By: mlgreen8753

mlgreen8753 — Thu, 30 Jul 2009 21:39:56 +0000

That image is too funny...you should submit it to Adwido.

By: John Cass

John Cass — Mon, 27 Jul 2009 23:46:50 +0000

Andrew, interesting article, I moved to the bay area in 1995, and in those days people told me that San Francisco was not really a tech town, it was only after the late 90's that a lot of tech people moved into the city. Before that the pay rates for tech people was good because all of the tech people were in San Jose and Palo Alto.

Interesting to hear the current state of the area. I moved to Seattle in '97, and I'm now in Boston, the second biggest tech center in the country. After living in three big tech areas. It seems to me that Boston and Silicon Valley are closest in character compared to Seattle. Boston and Silicon Valley's growth has been organic, while Seattle's tech community had to be cultivated much more with something like the WSA.

By: glenlipka

glenlipka — Mon, 27 Jul 2009 23:31:00 +0000

Great post. It made me think about what happens when you start selling. The bay area business community is much more willing to buy your new service/product because they are fellow travelers and innovators. So you might even see real economic success (initially) from the locals, but then struggle when you try to "cross the chasm".

It's terribly important to measure sales success with and without the Bay Area or risk hitting a brick wall after you saturate the innovators.

However, to flip-flop a bit: According to Seth Godin, you should go after the sneezers, who also live in the Bay Area.

Ultimately, building a great product is a prerequisite to success. Just don't believe your own press releases.

By: Andrew Chen

Andrew Chen — Mon, 27 Jul 2009 22:34:16 +0000

Yet I'm sure that Warren Buffett likely appreciated the time he spent in NY when he graduated, etc. I think you need to be in a position to have access to the right relationships if you want them, but focus on staying independent otherwise.

By: jonziskind

jonziskind — Mon, 27 Jul 2009 22:10:32 +0000

Andrew -

Great post. I am a member of a Southern Cal startup and we spend a great deal of time in Silicon Valley. Always get the same thing – you should have your company here. I always leave feeling that there is an incredible group of people there, but we need to keep our company focused on the long term vision. Really build a sustainable long-term technology company from which many things can grow. So, thanks for your timely post.

By: jasonwatkinspdx

jasonwatkinspdx — Mon, 27 Jul 2009 21:22:48 +0000

Well said.

I think most startup folks would voice agreement with this... but I think it's far more difficult to put into practice. The fear of being left behind is powerful. When something new appears it can be difficult if not impossible to determine if it has long term value as well.

I think all one can do is apply a professional poker mentality: ignore what cards come and whether you win or lose. Focus on your thought process: did you think through all the branches of the decision tree? Did you estimate the probabilities accurately? Be dissatisfied when you win by luck: find your mistake and address it, just as you would after losing by a clearly wrong choice.

But also aside from over used metaphors, if you're carefully observing yourself and your customers (ideally empirically where you can) I think that you gain confidence as a defense against the noise: who cares what other people are doing when you've got your own course plotted.

By: cianchette

cianchette — Mon, 27 Jul 2009 18:34:08 +0000

Great post Andrew. I met Warren Buffett a few years ago and he said that part of his success was due to working outside of New York City. Making decisions in Omaha allowed him to be more independent and to avoid the latest financial fads.

By: Andrew Chen

Andrew Chen — Mon, 27 Jul 2009 17:49:20 +0000

I personally prefer lots of deep 1:1 interaction instead – basically soliciting advice from people who have a deep understanding of both your business and the space. Being in a workspace environment with other startups might be worse, actually – it might be like hanging around a startup conference 24×7

By: Tara Kelly

Tara Kelly — Mon, 27 Jul 2009 17:20:44 +0000

Timely post. I'm considering moving from an even further off point than Seattle. I'd be interested in your opinion on startup hubs like Plug N Play and the like. Are these as insta-communities… or is it like going to startup events?

By: Aamir Virani

Aamir Virani — Mon, 27 Jul 2009 17:03:54 +0000

Preach on brother Andrew, preach on.

By: Michael Driscoll

Michael Driscoll — Mon, 27 Jul 2009 16:53:20 +0000

Talking about entrepreneurship is like talking about dieting. You can buy books, listen to gurus, sign up for classes — but ultimately, success requires sweat.

By: kortina

kortina — Mon, 27 Jul 2009 16:21:37 +0000

Seems to work now. I use Safari.