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The Greatest Risk: Not to Play
by Andrew McCaskey
The Greatest Risk: Not to Play PDF Print E-mail
Written by Andrew McCaskey
Monday, 06 October 2008 16:29
I have to direct your attention to the Silicon Valley Watcher Blog: The Largest Risk in Silicon Valley is Taking No Risk – Why the Economic Downturn will Spawn Hundreds of Startups.
In that post, former FT reporter Tom Formeski says that the economic downturn that is putting thousands of skilled software engineers out of work is just the incentive needed for the next round of innovation – and the severance pay (up to six months in some cases) is the runway needed for all sorts of ideas to take shape. You need a good idea, three or four coders and a coffee shop with free wifi. That’s where Six Apart, Flickr, WordPress, and some other stars of Web2.0 had their genesis after the last implosion. The risk is in not taking the risk.
What’s different this time around ? You don’t have to be in the Valley to play. Virtual workspaces, higher bandwidth, more widespread connectivity and an even larger base of skilled people from which to choose. And the social tools to find more through sites like LinkedIn. From a customer perspective there is far higher broadband penetration, level of consumer skills and hardware performance, and the fully supported and almost transparent LAMP-browser framework. Content or application, there is more opportunity now than ever.
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