
How Gordon Moore Invented the Talent Economy (and Changed The World) - jason_shah
http://pandodaily.com/2012/02/19/how-gordon-moore-invented-the-talent-economy-and-changed-the-world/
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jason_shah
The article claims that Fairchild Semiconductor was the first venture backed
startup and describes the "fundamental shift [venture capital] represented in
the relationship between capital and labor." Capital was now chasing talent.

A lot of valid points to support how an economy in which capital chases talent
is novel, including "Silicon Valley operates under a fundamentally different
system that continues to drive innovation by removing significant risk factors
for talent to work on new developments." And in the context of traditional
relationships between capital and labor, the author's point is valid that
capital, relative different economic models, chases talent in the VC industry.

Yet I wonder how this premise can fully accepted when so many entrepreneurs
are still chasing capital to fund their startups and even when money is 'so
easy' to raise in this market, VCs are still seemingly exhalted? Obviously for
the most competitive investment opportunities (e.g. to back a seasoned
entrepreneur with a stellar idea and early traction in a multi-billion dollar
industry) capital is certainly chasing talent. But it looks like this 'talent
economy' is still a two way street: talent continues to chase capital as well.

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tatsuke95
> _Yet I wonder how this premise can fully accepted when so many entrepreneurs
> are still chasing capital to fund their startups and even when money is 'so
> easy' to raise in this market, VCs are still seemingly exhalted?"_

Because it doesn't really work like this author is describing. Silicon Valley
just likes to make claims that it's different.

Sure, because of the do-it-yourself minimal-capital requirement of software
(what now underlies what we know as SV), venture capitalists are able to fund
ventures on a smaller, more personal level. But at the end of the day, it's a
bunch of rich guys lending money to people who do the actual work. Always has
been, always will be.

Even the "angel funds" are becoming a commodity, and are adopting a "spread it
around and see what works" model. Just like banks do with mortgages.

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rogerbinns
How Silicon Valley happened, the talent, ownership, personalities etc is far
deeper than that. This is an excellent hour long talk at Computer History
Museum titled "Secret History of Silicon Valley". It starts in the 1940s.

<http://www.youtube.com/watch?v=ZTC_RxWN_xo>

