The Exit Trap

exitI was with a friend recently who has a pretty exciting Internet startup company. He has raised some money and might raise more, his product is in beta and it’s good. It solves a difficult technical problem many companies are struggling with. We argued a little over the name of the product. Of course I thought my suggested name was better or certainly cleverer, but then he said, “It doesn’t matter because we’ll probably sell the company before the product ever ships. It may never appear at all.”

His company will exit almost before it enters. This is happening a lot lately and we generally think it is a good thing but it’s not.

If, like me, […]

Accidental Empires, Chapter 13 — Economics of Scale

redmond_aerialACCIDENTAL EMPIRES

CHAPTER THIRTEEN

ECONOMICS OF SCALE

We’re at the ballpark, now, and while you and I are taking a second bite from our chilidogs, this is what’s happening in the outfield, according to Rick Miller, a former Gold Glove center fielder for the Bosox and the Angels. When the pitcher’s winding up, and we figure the center fielder’s just stooped over out there, waiting for the photon torpedoes to load and thinking about T-bills or jock itch endorsements, he’s really watching the pitcher and getting ready to catch the ball that has yet to be thrown. Exceptional center fielders use three main factors in judging where the ball […]

Accidental Empires, Chapter 12 — On the Beach

tropicthunderGiven The Startup Channel this chapter on startups is very important. We also cover shareware and I want to point out that Buttonware founder Jim Knopf asked me to respect his pseudonym “Jim Button.” Who was I to argue with that? 

ACCIDENTAL EMPIRES

CHAPTER TWELVE

ON THE BEACH

America’s advantage in the PC business doesn’t come from our education system, from our fluoridated water, or, Lord knows, from our tax structure. And it doesn’t come from some innate ability we have to run big companies with thousands of employees and billions in sales. The main thing America has had going for it is the high-tech start-up, and, […]

Accidental Empires, Chapter 11 — Font Wars

john-warnock-steve-jobsClearly, given the recent battle between Flash and HTML5, things changed later in life between John Warnock and Steve Jobs. There’s a story I’d like to understand better. Meanwhile, back in the early 1990s….

ACCIDENTAL EMPIRES

CHAPTER ELEVEN

FONT WARS

Of the 5 billion people in the world, there are only four who I’m pretty sure have stayed consistently on the good side of Steve Jobs. Three of them—Bill Atkinson, Rich Page, and Bud Tribble—all worked with Jobs at Apple Computer. Atkinson and Tribble are code gods, and Page is a hardware god. Page and Tribble left Apple with Jobs in 1985 to found NeXT Inc., their […]

Accidental Empires, Chapter 9 — Clones

compaqportableACCIDENTAL EMPIRES

CHAPTER NINE

CLONES

It was in the clay room, a closet filled with plastic bags of gray muck at the back of Mr. Ziska’s art room, where I made my move. For the first time ever, I found myself standing alone with Nancy Wilkins, the love of my life, the girl of my dreams. She was a vision in her green and black plaid skirt and white blouse, with little flecks of clay dusted across her glasses. Her blonde hair was in a ponytail, her teeth were in braces, and I was sure—well, pretty sure—that she was wearing a bra.

“Run away with me, Nancy,” I said, wrapping […]

Accidental Empires, Chapter 8 — Software Envy

mitch&billACCIDENTAL EMPIRES

CHAPTER EIGHT

SOFTWARE ENVY

Mitch Kapor, the father of Lotus 1-2-3, showed up one day at my house but wouldn’t come inside. “You have a cat in there, don’t you?” he asked.

Not one cat but two, I confessed. I am a sinner.

Mitch is allergic to cats. I mean really allergic, with an industrial-strength asthmatic reaction. “It’s only happened a couple of times,” he explained, “but both times I thought I was going to die.”

People have said they are dying to see me, but Kapor really means it.

At this point we were still standing in the front yard, next to Kapor’s blue rental car. The guy had just […]

The Startup Channel

Screen Shot 2013-02-28 at 6.40.46 AMWe interrupt this book for a quick update on what’s happening in my so-called career. Shortly before beginning this serialization of Accidental Empires I explained that I would be doing some new projects including a book and a startup about startups – The Startup Channel (thestartupchannel.net). The latter project will now launch in April so it’s time to explain.

The Startup Channel will be an online video channel about startups and startup people. You’ll find it probably on YouTube unless some other Internet video outfit makes me a better offer (hint, hint). We’ll be launching with 40 hours of pre-produced content, which is a lot for online video where the […]

Accidental Empires, Part 6 (Chapter 1c) — The Airport Kid

accidental-195x300ACCIDENTAL EMPIRES

The Airport Kid was what they called a boy who ran errands and did odd jobs around a landing field in exchange for airplane rides and the distant prospect of learning to fly. From Lindbergh’s day on, every landing strip anywhere in America had such a kid— sometimes several—who’d caught on to the wonder of flight and wasn’t about to let go.

Technologies usually fade in popularity as they are replaced by new ways of doing things, so the lure of flight must have been awesome, because the airport kids stuck around America for generations. They finally disappeared in the 1970s, killed not by a transcendant technology but by the dismal economics of flight.

The numbers […]

I, Cringely version 3.01

cringley media logoToday is my 60th birthday. When I came to Silicon Valley I was 24. It feels at times like my adult life has paralleled the growth and maturation of the Valley. When I came here there were still orchards. You could buy cherries, fresh from the fields, right on El Camino Real in Sunnyvale. Apricot orchards surrounded Reid-Hillview Airport in San Jose, where I flew in those early days because hangars were already too expensive in Palo Alto. My first Palo Alto apartment rented for $142 per month and I bought my first house there for $47,000. I first met Intel co-founder Bob Noyce when we were both standing in line at […]

JOBS Act crowdfunding is unlikely to help most startups

Earlier this year I wrote a series of columns about crowdfunding and the JOBS Act, which was signed into law last April with several goals, one of which was to help startups raise money from ordinary investors. Those columns were about the promise of crowdfunding and the JOBS Act while this one is about what progress has been made so far toward that end. For startups, alas, the news is not entirely good. Crowdfunding looks like it may not be available at all for the smaller, needier companies the law was supposedly designed to serve.

It’s one thing to pass a law and quite another to write rules to carry out that law. Title 3 […]