History of Famous Startups
PayPal
PayPal was founded
have my hedge
and then thousands
happened.
a Palm Pilot,
we needed two
them, “No. Don’t
while, Peter took
prohibitive.
It’s based on
then eventually became
Livingston: Did you
you are a
anyone with a
20,000 new active
are doing it
Levchin: There are
to prepare much
Max Levchin 15
much more prominently—and
HotMail
When coworkers Sabeer
with it and
a web browser.
plan floating around
round.
difference, but I
or you had
believed we would
about the major
have a very
saw our growth
business development people,
Bhatia: Once you’ve
finish. Those kinds
Those are the
And the other
Apple Computer
If any one
the side. When
I couldn’t really
designed new things.
Altair (256 bytes
The dynamic RAMs
1 instruction; 1
payment on a
build a program
Steve Wozniak 37
draft it on
Wozniak: I got
Wozniak: Yes. Once
Livingston: How did
living and life
This whole industry’s
size. And it’s
Man, when I
should do it
in the home.
would drive the
strong participant. I
projects, and we
Livingston: What about
gold.) So he
on it running
We got the
emulators of other
changed so many
anyone could look
working on and
home? And that
thought, “That chip
life, by the
place. By the
data and I
your head, and
Livingston: Did you
Livingston: On the
The hardest thing
Apple engineers and
Excite
If any one
the side. When
I couldn’t really
designed new things.
Altair (256 bytes
The dynamic RAMs
1 instruction; 1
payment on a
build a program
Steve Wozniak 37
draft it on
Wozniak: I got
Wozniak: Yes. Once
Livingston: How did
living and life
This whole industry’s
size. And it’s
Man, when I
should do it
in the home.
would drive the
strong participant. I
projects, and we
Livingston: What about
gold.) So he
on it running
We got the
emulators of other
changed so many
anyone could look
working on and
home? And that
thought, “That chip
life, by the
place. By the
data and I
your head, and
Livingston: Did you
Livingston: On the
The hardest thing
Apple engineers and
Software Arts
Dan Bricklin and
know Bob really
time-sharing time, and
really a two-dimensional
see what it
in the fall
magazines like Byte
VisiCalc to figure
world, when we
Day one I
see is what
a reference card
then convert it
he would run
VisiCalc; it was
in cash, plus
that.
couples who spat
people had to
Lotus Development
Mitch Kapor founded
computer. It was
that I needed
VisiPlot. That was
and that I
thing and go,
to Microsoft for
advantage of the
it would calculate
good middle management
’60s, then you
lawsuit; we had
but, to be
are inspired by
through from first
the paperwork, they
the incentives.
Groove Networks
At the University
capture some window
in a secure
sure we could
There tends to
competitors? And do
from an early
stealth and then
difficult to hire
Everyone knows that
Blogger.com
Evan Williams cofounded
for clients around
at the time
it’s the little
doing this kind
using our product,
thing.” They were
is a native
I don’t think
we need to
people’s money. And
office.
company called Trellix
friend.
October 2002 was
Four months later,
me to go
Williams: One thing
Yahoo
Yahoo began in
things are going
months.
Advertising was well
was really 6
of the interim
was, “Oh no.
search. So, when
Tim Brady 133
commitment it takes
a search and
even before that.
They had a
plate,” and he
with friends, bad
Research In Motion
Mike Lazaridis founded
We tried to
really get seduced
advanced technology—and we
remember now, but
to do and
trying to conserve
I can read
Mike Lazaridis 147
because the BlackBerries
impacted things like
What was interesting
It was a
Marimba
Arthur van Hoff
hard. Anybody can
software, you subscribe
But that’s the
A lot of
super-duper Italian, fully
software distribution company—which
frivolous overall anyway.
Arthur van Hoff
Gmail
Paul Buchheit was
like email was
but it got
is one difference
don’t really even
They’d put them
Google is that
ever a point
little latency. If
a machine that’s
you give me
own ideas about
Livingston: Most startup
say, for these
WebTV
One weekend in
that work. We
get some REMs.
and I didn’t
because that’s when
on a television
basic patents around
value of it
what I’ve always
along the road
knew that a
we’ve decided not
really crashing all
working from Japan.
interested in the
the inner workings
the film industry
Then there’s Sand
know the other
can believe it—and
this stuff happen
together, the whole
TiVo
Mike Ramsay and
that happened during
partners at NEA),
We thought that
Livingston: Your original
phases of technology
on the VCR
going to work.
wanted, and there’s
we had an
the press loved
surprised they wanted
During that time,
marketing it on
Replay probably did
companies got involved
Viaweb
Paul Graham and
version in a
things you did?
Livingston: Where did
competitor and us
were going to
about?
at Julian’s loft
to California?” I
Livingston: What was
hard for us
but nobody’s ever
during which the
a lawyer to
It did, too.
chance the deal’s
Graham: Constantly. No
Paul Graham 219
that is, real
locked that in.
del.icio.us
Joshua Schachter started
bookmarks. There were
to VCs if
capital.
think we didn’t
IDs just don’t
to my wife
that was a
is come up
works. He says
ONElist, Bloglines
Mark Fletcher was
Bloglines—which was working
it.” I was
Livingston: Did you
when you were
going to repeat
sheets, for example.
The whole VC
the ’90s. Because
range from a
that they were
been 2 weeks
Fletcher: Sure. It’s
need a graphic
the side and
craigslist
In 1995, Craig
That’s a microcosm
Linux servers—small, cheap
or apartment brokers.”
Newmark: No, Jim
process.
money. But that
all sorts of
Newmark: The other
Flickr
Caterina Fake started
focus on social
awesome developers (like
made businesses in
Fake: We were
growing at such
and only save
competition wasn’t apparent.
what I’ll be
WAIS, Internet Archive, Alexa Internet
Brewster Kahle startedWAIS
Machines to attract
major startup that
information and as
and I don’t
a bootstrap—doing the
Printing Office. We
I think there
Brewster Kahle 271
we’d say, “Well,
dreamed of in
so then I
fantastically valuable thing
moving around the
In talks with
you can actually
new and different—something
Bezos did that
Adobe Systems
At Xerox PARC,
Ethernet technology, developed
do that.
only text, but
you’re not going
said, “I want
didn’t have a
that we developed.
Geschke: No, PostScript
Livingston: Did you
that Xerox introduced
It was introduced
would market primarily
to Microsoft, we
relationship that we
plan, there were
had seen what
sure where it
few years later
to the spouse
Open Systems, Hummer Winblad
In 1976, Ann
other near Summit
oxymoron saying it
the next hill.
fact opened up
were many things
people out there
guys, but it
could look that
tower—and from the
didn’t ship booths
Winblad: Oh yeah.
experience as an
handsomely rewarded. The
37signals
David Heinemeier Hansson
companies to manage
the other stuff.”
David Heinemeier Hansson
money if we
systems administrator on
the product is
going to be
same place, it’s
ArsDigita
Philip Greenspun founded
will be rendered
to build similar
with the IRS
toolkit. In some
content of Cosmo
Avenue.
selling it. They
and whoever else
did, most of
or an e-commerce
biology grad school.
Greenspun: Yeah, but
of us in
Because we were
to your customers.
everywhere. It would
The VCs found
and he brought
about 6 months,
no ideas. He
won’t have to
a majority shareholder.”
then we elected
they had a
education and “we’re
you only got
online community and
solved this problem,
had gotten rid
agreeable personality. They
growth.
want to pay
wasn’t going to
Fog Creek Software
Joel Spolsky founded
anti-Microsoft. So that
is growing, they
3 months.” Then
4 months while
email management system.
a big consulting
that’s what we
good at. And
MSRP (manufacturer’s suggested
We said, “Make
your potential customers
but to say
Joel Spolsky 355
The interesting thing
when we released
software companies did
database and the
awful for all
TripAdvisor
Steve Kaufer, Langley
there—where we would
Kaufer: We tried
first. Your experience
was that it
our burn rate
And he didn’t
to TripAdvisor.com, and
have taken a
The notion that
dealing with customers
monetize their existing
so they were
reservation at a
can iron all
and complete failures
every single department?
we don’t have
of chapter four
HOT or NOT
While looking for
walked into the
already $60,000 in
wasn’t planning, it
and, based on
was all an
mentioned the site
Hong: Most techies
it’s how they
could. You have
If I have
Tickle
James Currier came
basketball court. I
the back of
“Do you have
we arranged for
And so you
for the softer
Monster has been
Firefox
Blake Ross and
as a way
which is actually
Ross: No, but
Ross: Not a
Mozilla project, it’s
Livingston: So Firefox
even knows what
Livingston: You wanted
what you are
knows, someone could
Six Apart
Husband-and-wife cofounders Mena
this solve?” We
we did was
“Can I have
that Barak was
Trott: Because we
really start from
have only installed
money.
companies that have
out of it.
other people in
to them.
person, so if
be torn apart
Lycos
Lycos was started
’95, I was
early on?
sure, and Lycos
more in common
Livingston: You went
“How can I
it was everywhere.
Shareholder.com
In 1982, Ron
growth path from
plan done. We
9:30 in the
buying workstations and
strategy because I
been through that,
And the man
Gruner, I’m single,
that to a
us the information;
technology, what was
incredible! This is
edge. And we
which at the
few years there
hiring a private
scariest incident we
lives.
$85 million of
didn’t want to
breed of cat
like that at
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