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Founder Mode

paulgraham.com

351–360 of 772 posts

Re: Founder Mode

#351

Counter-example: Reed Hastings, co-founder and the CEO of Netflix for 22 years, famously did the opposite of what pg is saying. Reed insisted on a particular style of employee freedom & responsibility that IMO set the benchmark for innovating year after year and avoiding micro-managers, even as it scaled up past 2000 engineers. This story still has not been fully told. Reed was closely involved but perhaps the opposi…

It's a bit off topic, but I've never understood while people hold Netflix as some engineering Holy Grail. Their product is straightforward feature-wise, and pushing a low-teen megabits per second of static video data on the internet in a somewhat timely manner is not a huge technical challenge nowadays (or 10 years ago). Doing stuff like real-time video streaming, where you have to encode and push video to users with…

Slightly bigger challenges Netflix faces:

• You have deals with N big media companies who each have their own restrictions on who can stream what from where. The list is constantly changing, so permissions to view media are locale-specific and revokable; you need a way to say “okay this person is not allowed any more to do that.”

• Multiple-screen detection emphatically needs to be rock solid. Someone is going to unplug their Roku player when their laptop says “you're watching from too many screens,” and by the time they get back to their laptop you need to be detecting them as streaming from 0 screens. At the same time a hiccup in this process shouldn't cause like 3% of your users to get a big streaming interruption as they don't seem to be online.

• You have to recommend stuff based on what this person has watched. An acquisition team needs to do cluster analysis on this to get new stuff to fill all of the different clusters of interests that emerge in your user base.

• People will search for shows you don't have. (Because of point 1, the big media companies only permit access to a fraction of their backlog.) You have to know this media that you don't have access to, well enough to recommend something related that might keep the user on Netflix instead of hopping to another service.

• All of this has to happen on pretty low latencies when someone starts up Netflix. That is, anybody who jumps into Netflix should see a personalized view of what they were watching, what they can watch, filtered by your allow lists and not cached on their device, within just a few seconds.

• All of this has to be portable to all of the different platforms Netflix supports.

Re: Founder Mode

#352

Counter-example: Reed Hastings, co-founder and the CEO of Netflix for 22 years, famously did the opposite of what pg is saying. Reed insisted on a particular style of employee freedom & responsibility that IMO set the benchmark for innovating year after year and avoiding micro-managers, even as it scaled up past 2000 engineers. This story still has not been fully told. Reed was closely involved but perhaps the opposi…

It's a bit off topic, but I've never understood while people hold Netflix as some engineering Holy Grail. Their product is straightforward feature-wise, and pushing a low-teen megabits per second of static video data on the internet in a somewhat timely manner is not a huge technical challenge nowadays (or 10 years ago). Doing stuff like real-time video streaming, where you have to encode and push video to users with…

[deleted]

Re: Founder Mode

#353

Counter-example: Reed Hastings, co-founder and the CEO of Netflix for 22 years, famously did the opposite of what pg is saying. Reed insisted on a particular style of employee freedom & responsibility that IMO set the benchmark for innovating year after year and avoiding micro-managers, even as it scaled up past 2000 engineers. This story still has not been fully told. Reed was closely involved but perhaps the opposi…

It's a bit off topic, but I've never understood while people hold Netflix as some engineering Holy Grail. Their product is straightforward feature-wise, and pushing a low-teen megabits per second of static video data on the internet in a somewhat timely manner is not a huge technical challenge nowadays (or 10 years ago). Doing stuff like real-time video streaming, where you have to encode and push video to users with…

Take those low teen megabits and scale it through $x users in $y locations streaming $z content items. Consider that 15% of those $x users will take to the internet to complain about problems. Also consider that once you’re a big enough name, mainstream media will cover those complaints on slow news days. Finally consider that a large portion of budget goes into constantly maximizing x, y and z.

Thats where the engineering problem goes from trivial to extremely complicated. Lots and lots of people demanding a similar quality of service across a wide pool of content on a wide pool of devices.

And that doesn’t even fully cover last mile issues.

Re: Founder Mode

#355
What a crock.

Most startups fail. So they commonly get advice about how not to fail. Most of them still fail. That doesn't mean the advice was bad. Founders are gamblers and the odds suck.

If founders weren't looking for someone to tell them how to run their businesses or trying to rid themselves of their pesky responsibilities, this situation would be different. But that's a story that most founders don't want to hear.

Re: Founder Mode

#356
This is a good piece in that there is absolutely truth to it -- but it's also a bit dangerously non-specific in that it potentially leaves founders with the notion that whatever they happen to think is tautologically correct. To supplement this piece, I would make three specific recommendations that I think tack into the same themes (namely: mistakes founders make -- including trusting the wrong people at the wrong times), but with quite a bit more detail.

First, Tim O'Reilly wrote a superlative piece in 2013, "How I Failed."[0] I cannot recommend this piece highly enough, and it had enormous impact on me as a founder. Its message is quite a bit more complicated than the Graham piece: there are times to stand your ground and resist conventional wisdom (HR in O'Reilly's piece), and there are times when expert practitioners of that conventional wisdom will save your bacon (the CFO in O'Reilly's piece). And the truth is more complicated still in that O'Reilly's specifics may or may not be the ones that a founder needs to apply to their own situation.

Second -- and I recommend this whenever anyone mentions Jobs -- is Randall Stross's "Steve Jobs and the NeXT Big Thing"[1], a history of NeXT written at Jobs' darkest hour. An extraordinary book that will leave you with a much more nuanced view of Jobs: not only in terms of his strengths (definitely those!) and his weaknesses (here in spades!) but especially the way that the NeXT experience surely informed Jobs's (much more successful) return to Apple. (It is a galling failure of the Issacson biography that he spends so little time on NeXT.) Selfishly, I would also recommend our Oxide and Friends discussion of the book.[2]

Third (and finally): a very common specific mistake that technical founders make is how they build out a go-to-market team. This isn't discussed nearly enough, and I was on a podcast episode of Software Misadventures ("Ditching the Rules to Build a Team that Lasts"[3]) with my own co-founder (who came up on the go-to-market side) in which he elaborates on this mistake -- and how founders can avoid it.

[0] https://www.oreilly.com/radar/how-i-failed/

[1] https://www.goodreads.com/en/book/show/226316

[2] https://oxide-and-friends.transistor.fm/episodes/next-object...

[3] https://softwaremisadventures.com/p/oxide-ditching-the-rules

Re: Founder Mode

#357
post #270

I think there's a property which is hard to describe. But i've seen the opposite property countless times at companies. People, and leaders who are building "cool demos". Things that tell a great story, but somehow never materialize into any material revenue for the company. I've seen these guys move up into higher and higher positions, and yet the projects they build are simply great stories. The higher up the org y…

> People, and leaders who are building "cool demos". Things that tell a great story, but somehow never materialize into any material revenue for the company.

It takes experience to see something awesome, and still drill into who asked for it, what problem is it solving, what value is it generating for the end user, etc.

It's easy to forget that sometimes even something super cool is not that useful and when the rubber hits the road, no-one will pay for it.

Re: Founder Mode

#358

Earlier quoted context omitted.

I've only heard the term in reference to https://posthog.com/founders/cracked-manifesto

Which is the same thing. You've also heard them called rockstars or x10 before. They are referring to the same folks, but calling them "easy to manage" is a hilarious statement.

Characteristics like "Stay optimistic at all times", "Make people feel excited and energized", and "Behave in a completely authentic way" are not really things I associated with rockstar/10x engineers (which is also a complete BS label for different reasons).

Re: Founder Mode

#360

This "Founder Mode" seems more like "Victim Mode" looking for someone to blame.

That sounds like you maybe read the post with a very preconceived idea. I didn't see anything there that seemed like "looking for someone to blame".
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