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Trends to Avoid When Founding a Startup

fast.ai

31–40 of 100 posts

Re: Trends to Avoid When Founding a Startup

#31
Great points. Strongly agree with #3 in particular ("like a family") because I've made this exact mistake with companies I've led in the past.

To elaborate on what the piece touches on but doesn't specifically say:

> You will need to make hard decisions for the sake of > the business. You can’t actually offer people anything > remotely close to lifelong loyalty or security, and it’s > dishonest to implicitly do so.

To be clear(er): You will have to fire people, and firing someone who thinks of themselves as a family member or who you think of as similar makes the whole thing much more painful. Further, it can make you, as a leader, hesitate when it's an action you really need to take ("but this person is like my brother - we'll make it work!").

At my most recent company, we took the opposite approach -- we all liked each other a lot, we worked well together, and we ate lunch together as a team, but at 6pm everyone went home to their own lives and families. The lines were clear, the understandings were there, and I think it was a much better way to run things.

Re: Trends to Avoid When Founding a Startup

#32
post #20

I don't want to diminish the success that this company is having being run in their own way, but give me a break with these blog posts. VC is a "trend to avoid"? Avoid "Hypergrowth"? I guess companies like Google, Facebook, Twitter, Amazon, Stripe, Airbnb, Dropbox, Pinterest and a hundred others all really messed up. I mean I could go point by point and give examples that are the opposite of these trends, but that is…

Even a broken clock is right twice a day! These companies had awesome market fit, and also lots of luck. Thousands we don't remember have tried this and failed.

Hypergrowth/VCs have been oversold as 'The one way'; I'm glad to see blog posts showing that there is a whole world out there.

Re: Trends to Avoid When Founding a Startup

#33
post #20

I don't want to diminish the success that this company is having being run in their own way, but give me a break with these blog posts. VC is a "trend to avoid"? Avoid "Hypergrowth"? I guess companies like Google, Facebook, Twitter, Amazon, Stripe, Airbnb, Dropbox, Pinterest and a hundred others all really messed up. I mean I could go point by point and give examples that are the opposite of these trends, but that is…

It was interesting reading this, because those 5 points basically describe Google to a T. It's an aborted Ph.D thesis that took VC, hired lots of Ph.Ds with a culture "like a family", and then embarked on a hypergrowth trajectory.

The irony is that when Google was young, there was a different set of "destructive trends". They still included taking VC, but it was also common knowledge that:

1. You had to sell a physical product for money.

2. You had to build out all your infrastructure before you could bring a product to market.

3. Sales & marketing were more important than engineering.

4. (When they were hiring on their hypergrowth trajectory, 2001-2004:) The web is dead, and programming is a terrible career because it's all about to be outsourced to India.

Perhaps the meta-lesson is to do what other people are not doing. The point of markets is that they reward unexpected successes, where an entrepreneur serves a population with little competition, and that necessarily means thinking for yourself and ignoring the common wisdom. Fast.ai does an admirable job at that - their deep learning course is excellent - but taking their advice at face value is just as dumb as cargo-culting Google.

Re: Trends to Avoid When Founding a Startup

#34
post #5
post #3

Earlier quoted context omitted.

I don't see anything that mentions just a year of coding experience, but as a participant in their free MOOC I can say that it's highly worthwhile. It's unique and complimentary to the more academic material usually found on deep learning.

From the article... "And even for highly technical aspects like deep learning, fast.ai has shown that people with 1-year of coding experience can become world-class deep learning practitioners; you don’t need to hire Stanford PhDs. "

I was in their recent course. No previous AI experience, although I've been coding for 20 years. Using what I learned in the class, I am regularly able to finish in the top 20% on most Kaggle competitions.

Just being able to solve some of those problems allows me to provide employers with major value.

Re: Trends to Avoid When Founding a Startup

#35

I agree a lot with #3 but disagree heavily with #4. There are canonical examples of PhD theses that became successful companies, not to mention the dozens of companies who exited (e.g. CV companies to Qualcomm).

Jawbone founder Hosain Rahman developed his microphone tech while still a Stanford EE I believe. There are also the Quantum Computing startups to spin out of Yale CS. Gene editing pioneered at MIT Broad Institute. And on and on.

Regarding AI / ML as a service specifically. Many startups may find themselves facing the same issues plaguing IBM Watson. Deep learning considers trillion dimensional spaces. Most enterprise prediction problems are simply not of an astrophysical scale. And where domain specific expertise is required. Such as Google Maps use of CV in rendering highres satellite image data to SVG for the browser. Simply having grad student level familiarity with OpenCV might not be sufficient.

A Year of Google & Apple Maps (warning: bandwidth & cpu intensive)

https://www.justinobeirne.com/a-year-of-google-maps-and-appl...

Re: Trends to Avoid When Founding a Startup

#36
post #28
post #20

I don't want to diminish the success that this company is having being run in their own way, but give me a break with these blog posts. VC is a "trend to avoid"? Avoid "Hypergrowth"? I guess companies like Google, Facebook, Twitter, Amazon, Stripe, Airbnb, Dropbox, Pinterest and a hundred others all really messed up. I mean I could go point by point and give examples that are the opposite of these trends, but that is…

Counterpoint: Blog posts like this one are useful, because the VC-funded companies you named are so successful at dominating our thoughts, conversations, and news feeds (HN included) that many founders never see any examples of people following an alternative path. It can be inspiring to a lot of people to simply hear about the possibility of building a small, revenue-generating business or side project. I've been ru…

I disagree that this blog post is giving an interesting counterpoint. As I said, I'm not diminishing their success, but this blog post isn't about their story, it's about knocking other styles of companies they disagree with. For example, the VC thing:

> Therefore, VCs often push companies to grow too quickly, before they’ve nailed down product-market fit and monetization

[citation needed]

> Staying small keeps you focused on a small number of high-impact features.

[citation needed]

> This is not just a few bad actors: the behavior is wide-spread, including by many well-known and ultra-wealthy investors

[citation needed]

-------

I'm not going to get on some high horse here defending VCs, but these aren't original lines of argument and when unsupported I'm not sure what value they are providing. For example, YC is a VC. Do you think these 3 things apply to them?

Again, good for this company, I'm really happy they are succeeding and I'm glad they are doing it without VCs or other trends they don't like. This blog post is very shallow marketing though, I don't see how this is adding to the accumulated knowledge of creating a startup.

Re: Trends to Avoid When Founding a Startup

#37
post #28
post #20

I don't want to diminish the success that this company is having being run in their own way, but give me a break with these blog posts. VC is a "trend to avoid"? Avoid "Hypergrowth"? I guess companies like Google, Facebook, Twitter, Amazon, Stripe, Airbnb, Dropbox, Pinterest and a hundred others all really messed up. I mean I could go point by point and give examples that are the opposite of these trends, but that is…

Counterpoint: Blog posts like this one are useful, because the VC-funded companies you named are so successful at dominating our thoughts, conversations, and news feeds (HN included) that many founders never see any examples of people following an alternative path. It can be inspiring to a lot of people to simply hear about the possibility of building a small, revenue-generating business or side project. I've been ru…

> it feels like every day I talk to someone who's never even considered bootstrapping to be an option

It's mind-boggingly to me that this can be an option that people have never considered but I totally believe you. I've seen people have the "epiphany" that companies can spend revenue in much the same way they spend VC money. I guess their model is that only after that money is distilled into an up-and-to-the-right graph and put in front of VCs and they give you money do you actually get something you can spend.

Re: Trends to Avoid When Founding a Startup

#38

I agree a lot with #3 but disagree heavily with #4. There are canonical examples of PhD theses that became successful companies, not to mention the dozens of companies who exited (e.g. CV companies to Qualcomm).

Jawbone founder Hosain Rahman developed his microphone tech while still a Stanford EE I believe. There are also the Quantum Computing startups to spin out of Yale CS. Gene editing pioneered at MIT Broad Institute. And on and on. Regarding AI / ML as a service specifically. Many startups may find themselves facing the same issues plaguing IBM Watson. Deep learning considers trillion dimensional spaces. Most enterprise…

Schoelkopf and Devoret are in Applied Physics, not CS.

Re: Trends to Avoid When Founding a Startup

#39
post #20

I don't want to diminish the success that this company is having being run in their own way, but give me a break with these blog posts. VC is a "trend to avoid"? Avoid "Hypergrowth"? I guess companies like Google, Facebook, Twitter, Amazon, Stripe, Airbnb, Dropbox, Pinterest and a hundred others all really messed up. I mean I could go point by point and give examples that are the opposite of these trends, but that is…

It was interesting reading this, because those 5 points basically describe Google to a T. It's an aborted Ph.D thesis that took VC, hired lots of Ph.Ds with a culture "like a family", and then embarked on a hypergrowth trajectory. The irony is that when Google was young, there was a different set of "destructive trends". They still included taking VC, but it was also common knowledge that: 1. You had to sell a physic…

> Perhaps the meta-lesson is to do what other people are not doing.

A better lesson might be: stumble upon a phenomenal river of gold and dive in head-first.

Unfortunately, rivers of gold are rare. Which is why the rest of us are stuck with mundane stuff like marketing units of product or service to sell at a profit.

Re: Trends to Avoid When Founding a Startup

#40
The common mental model of a fledgling software startup is too large by at least one order of magnitude.

For a decent, traction-but-no-rocketship product oriented startup, you need one solid back-end+ops guy, one solid front-end+UX guy, and one programmer for each mobile platform you wish to support. Add a CEO+sales+finances person, to keep the business side of the business compliant.

Yes, you won't get a cool continuous integration autoscaling whatnot doodad. YAGNI also applies to infrastructure, people and organizational hierarchies. Don't build them just because Google and Facebook have them.

Look for a profitable company that's just one size bigger than you are today, and aim for that. They've already proven that it's possible to operate at that size with the whatever they've got. Repeat as you grow.

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