State of New Tech in Santa Cruz - LinkedIn Question/Answer
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Sean Patrick Tario
Oct 26, 2008, 11:44:26 PM10/26/08
to Santa Cruz Geeks
Thought some of you would be interested to know that a Karen Lippe
asked a question on LinkedIn a few days ago...
"What is the state of new technology developing in Santa Cruz County?
Is Santa Cruz a good environment for tech? Is there the right support
structure for startups? Does SC lean toward traditional tech or more
innovative, consumer oriented solutions?"
A Thomas Leavitt replied,
"Well, lore has it that being stuck in traffic on Highway 17 is a
venture capitalist's worst nightmare, and thus they're simply not
interested in funding companies on our side of the hill. I once had
Michael Moritz of Sequoia Capital venture over the hill in person to
visit my company (WebCom) in the early days of the dot.com boom, but
I don't expect to see that again any time soon. On a practical basis,
there are a lot of compelling reasons to argue in favor of operating
your venture over the hill, the depth of the talent pool and the
accessibility of support services being the two most prominent.
If you look at the track record for venture financed companies in this
area, it is pretty sparse. Take Philipe Kahn out of the picture, and
there's damn little to speak of in terms of high profile success
stories. I think most of the firms here are like mine: boutique
consulting operations. I don't think, in terms of ventures started,
there's enough evidence to say what way folks generally lean, I think
what gets started is more a product of the opportunities people find
themselves enjoying, and the people they have an opportunity to work
with, than anything else.
That's not to say there isn't the infrastructure here: there's a
strong pool of talent that would like nothing more than to avoid
having to drive 45 minutes to an hour each way to work, in traffic,
and is willing to take a steep discount to market rate salaries to do
so. Plus a highly educated and often gravely underemployed pool of
general purpose workers to draw upon, and a vibrant overall business
community to network with.
That said, you have to have all the pieces lined up, and local, for it
to work... the most critical of which being the investment partners.
If you're looking for financing from over the hill, they're going to
want you to locate over the hill, and their networks and the people
and services they bring to the table are all going to be from over the
hill as well. It will be very hard to not wind up locating over there,
sooner rather than later, as a result."
......................................................
I just couldn't help myself, so I replied as well,
"Great question Karen, and Thomas hits most points right on the head.
What's missing however is the message on what's happening now, and
what's being planned for the future here in Santa Cruz. Hopefully I
can help shed some light...
Take Sol Lipman for example. Seasoned and successful Entrepreneur,
wonderful human being, and Founder of a LOCAL startup called www.12seconds.tv
. If you know what Twitter is, think Video Twitter, and you'll get it.
Company is growing like mad, bootstrapping, and showing more growth
over the past 4-5 months than most extremely well funded companies in
this space that have existed over the hill for years.
Sol in fact wrote a blog post on the site recently that sort of sums
up where at least the communities I'm involved with here in Santa Cruz
are poised right now. I highly recommend you take a read - http://12
seconds.wordpress.com/2008/10/09/passion-is-recession-proof/
Another brilliant company here in town growing like mad, also founded
by seasoned entrepreneurs and grounded folks, is www.uservoice.com .
In the past few months alone they have acquired over 4,200 users and
recently landed their first hand full of enterprise accounts.
Also worth mentioning is NextSpace, the 11,000 square foot shared
working space on the corner of Pacific and Cooper, where both of these
companies reside, along with a dozen other small businesses trying to
make a name for themselves (and some who have already, like www.quiddities.com
and www.bloofusion.com ).
If you've picked up the latest GoodTimes, you would also know about a
group here in town that I'm a part of ( www.santacruznext.org ) that
is starting to take some significant steps forward in getting an
entire generation here in town engaged, informed and involved with
their community. Haven't seen it? Now you have -
http://www.gtweekly.com/good-times/covers/new-blood
Other groups helping build community capital @ high tech here in town
are;
The Santa Cruz Geeks - http://groups.google.com/group/santacruzgeeks
The Santa Cruz New Tech Alliance Meetup - http://newtech.meetup.com/86/
And have you heard about what the UCSC School of Engineering has going
on lately?! If you haven't, you should - http://www.soe.ucsc.edu/
The talent is here.
The ideas are here.
The support services are here.
The success stories are here... such as;
www.plantronics.com
www.thearmadagroup.com
www.bloofusion.com
www.shaneandpeter.com
www.santacruzbicycles.com
www.giro.com
TGV Software - bought by Cisco
(and those are just the ones I can think of off the top of my head!)
Long story short, big things are happening and it's a direct result of
the talent here in town getting together, investing in each other,
believing in each other, making connections, being real with each
other, broadcasting the message over the hill and around the world,
and simply making it happen.
Thomas is right on one thing though, what's missing is respect from
Page Mill and Sand Hill Road and the "this side of the hill" Angel/
Venture Fund that focuses on incubating and growing companies and
ideas right here, right now.
Believe me when I tell you however, this is growing and being worked
on right now by very capable people, and I would love to talk with
anyone interested in learning more or getting involved with any of
these companies and opportunities, regardless of who you are or where
you fit in the puzzle.
One step at a time, we will keep moving forward."
....................................
Curious what you all think/feel about this Q and A?
Sean
asked a question on LinkedIn a few days ago...
"What is the state of new technology developing in Santa Cruz County?
Is Santa Cruz a good environment for tech? Is there the right support
structure for startups? Does SC lean toward traditional tech or more
innovative, consumer oriented solutions?"
A Thomas Leavitt replied,
"Well, lore has it that being stuck in traffic on Highway 17 is a
venture capitalist's worst nightmare, and thus they're simply not
interested in funding companies on our side of the hill. I once had
Michael Moritz of Sequoia Capital venture over the hill in person to
visit my company (WebCom) in the early days of the dot.com boom, but
I don't expect to see that again any time soon. On a practical basis,
there are a lot of compelling reasons to argue in favor of operating
your venture over the hill, the depth of the talent pool and the
accessibility of support services being the two most prominent.
If you look at the track record for venture financed companies in this
area, it is pretty sparse. Take Philipe Kahn out of the picture, and
there's damn little to speak of in terms of high profile success
stories. I think most of the firms here are like mine: boutique
consulting operations. I don't think, in terms of ventures started,
there's enough evidence to say what way folks generally lean, I think
what gets started is more a product of the opportunities people find
themselves enjoying, and the people they have an opportunity to work
with, than anything else.
That's not to say there isn't the infrastructure here: there's a
strong pool of talent that would like nothing more than to avoid
having to drive 45 minutes to an hour each way to work, in traffic,
and is willing to take a steep discount to market rate salaries to do
so. Plus a highly educated and often gravely underemployed pool of
general purpose workers to draw upon, and a vibrant overall business
community to network with.
That said, you have to have all the pieces lined up, and local, for it
to work... the most critical of which being the investment partners.
If you're looking for financing from over the hill, they're going to
want you to locate over the hill, and their networks and the people
and services they bring to the table are all going to be from over the
hill as well. It will be very hard to not wind up locating over there,
sooner rather than later, as a result."
......................................................
I just couldn't help myself, so I replied as well,
"Great question Karen, and Thomas hits most points right on the head.
What's missing however is the message on what's happening now, and
what's being planned for the future here in Santa Cruz. Hopefully I
can help shed some light...
Take Sol Lipman for example. Seasoned and successful Entrepreneur,
wonderful human being, and Founder of a LOCAL startup called www.12seconds.tv
. If you know what Twitter is, think Video Twitter, and you'll get it.
Company is growing like mad, bootstrapping, and showing more growth
over the past 4-5 months than most extremely well funded companies in
this space that have existed over the hill for years.
Sol in fact wrote a blog post on the site recently that sort of sums
up where at least the communities I'm involved with here in Santa Cruz
are poised right now. I highly recommend you take a read - http://12
seconds.wordpress.com/2008/10/09/passion-is-recession-proof/
Another brilliant company here in town growing like mad, also founded
by seasoned entrepreneurs and grounded folks, is www.uservoice.com .
In the past few months alone they have acquired over 4,200 users and
recently landed their first hand full of enterprise accounts.
Also worth mentioning is NextSpace, the 11,000 square foot shared
working space on the corner of Pacific and Cooper, where both of these
companies reside, along with a dozen other small businesses trying to
make a name for themselves (and some who have already, like www.quiddities.com
and www.bloofusion.com ).
If you've picked up the latest GoodTimes, you would also know about a
group here in town that I'm a part of ( www.santacruznext.org ) that
is starting to take some significant steps forward in getting an
entire generation here in town engaged, informed and involved with
their community. Haven't seen it? Now you have -
http://www.gtweekly.com/good-times/covers/new-blood
Other groups helping build community capital @ high tech here in town
are;
The Santa Cruz Geeks - http://groups.google.com/group/santacruzgeeks
The Santa Cruz New Tech Alliance Meetup - http://newtech.meetup.com/86/
And have you heard about what the UCSC School of Engineering has going
on lately?! If you haven't, you should - http://www.soe.ucsc.edu/
The talent is here.
The ideas are here.
The support services are here.
The success stories are here... such as;
www.plantronics.com
www.thearmadagroup.com
www.bloofusion.com
www.shaneandpeter.com
www.santacruzbicycles.com
www.giro.com
TGV Software - bought by Cisco
(and those are just the ones I can think of off the top of my head!)
Long story short, big things are happening and it's a direct result of
the talent here in town getting together, investing in each other,
believing in each other, making connections, being real with each
other, broadcasting the message over the hill and around the world,
and simply making it happen.
Thomas is right on one thing though, what's missing is respect from
Page Mill and Sand Hill Road and the "this side of the hill" Angel/
Venture Fund that focuses on incubating and growing companies and
ideas right here, right now.
Believe me when I tell you however, this is growing and being worked
on right now by very capable people, and I would love to talk with
anyone interested in learning more or getting involved with any of
these companies and opportunities, regardless of who you are or where
you fit in the puzzle.
One step at a time, we will keep moving forward."
....................................
Curious what you all think/feel about this Q and A?
Sean
Steve Terry
Oct 27, 2008, 12:22:09 AM10/27/08
to santacr...@googlegroups.com
A comprehensive and inspiring summary of what's happening, Sean. It got my blood pumping and my energy level notched up a few. Thanks!
|
Sol Lipman
Oct 27, 2008, 12:35:39 AM10/27/08
to santacr...@googlegroups.com
Thanks Sean for your kind words!
Roan Bear
Oct 27, 2008, 12:36:07 AM10/27/08
to santacr...@googlegroups.com
Hi Sean,
I think it's a very comprehensive and timely reply. You make a great
community evangelist ;-)
Just kills me to hear "strong pool of talent that ... is willing to
take a steep discount to market rate ..."
Can't wait for that perception to change.
Roan
Sean Patrick Tario
Oct 27, 2008, 12:38:55 AM10/27/08
to Santa Cruz Geeks
Roan, I totally agree. One of the key measurements of our success,
and what I am dedicated to make happen, is change this perception and
reality.
> > are poised right now. I highly recommend you take a read -http://12
>
> > The Santa Cruz New Tech Alliance Meetup -http://newtech.meetup.com/86/
and what I am dedicated to make happen, is change this perception and
reality.
> > seconds.wordpress.com/2008/10/09/passion-is-recession-proof/
>
> > Another brilliant company here in town growing like mad, also founded
> > by seasoned entrepreneurs and grounded folks, iswww.uservoice.com.
> > In the past few months alone they have acquired over 4,200 users and
> > recently landed their first hand full of enterprise accounts.
>
> > Also worth mentioning is NextSpace, the 11,000 square foot shared
> > working space on the corner of Pacific and Cooper, where both of these
> > companies reside, along with a dozen other small businesses trying to
> > make a name for themselves (and some who have already, likewww.quiddities.com
> > andwww.bloofusion.com).
>
> > If you've picked up the latest GoodTimes, you would also know about a
> > group here in town that I'm a part of (www.santacruznext.org) that
>
> > Another brilliant company here in town growing like mad, also founded
> > by seasoned entrepreneurs and grounded folks, iswww.uservoice.com.
> > In the past few months alone they have acquired over 4,200 users and
> > recently landed their first hand full of enterprise accounts.
>
> > Also worth mentioning is NextSpace, the 11,000 square foot shared
> > working space on the corner of Pacific and Cooper, where both of these
> > companies reside, along with a dozen other small businesses trying to
> > make a name for themselves (and some who have already, likewww.quiddities.com
> > andwww.bloofusion.com).
>
> > If you've picked up the latest GoodTimes, you would also know about a
> > is starting to take some significant steps forward in getting an
> > entire generation here in town engaged, informed and involved with
> > their community. Haven't seen it? Now you have -
> >http://www.gtweekly.com/good-times/covers/new-blood
>
> > Other groups helping build community capital @ high tech here in town
> > are;
>
> > The Santa Cruz Geeks -http://groups.google.com/group/santacruzgeeks
> > entire generation here in town engaged, informed and involved with
> > their community. Haven't seen it? Now you have -
> >http://www.gtweekly.com/good-times/covers/new-blood
>
> > Other groups helping build community capital @ high tech here in town
> > are;
>
>
> > The Santa Cruz New Tech Alliance Meetup -http://newtech.meetup.com/86/
>
> > And have you heard about what the UCSC School of Engineering has going
> > on lately?! If you haven't, you should -http://www.soe.ucsc.edu/
> > And have you heard about what the UCSC School of Engineering has going
Andreas Mueller
Oct 27, 2008, 1:37:43 AM10/27/08
to santacr...@googlegroups.com
I think the perception is already changing. Albeit slowly.
Examples of forces that are bringing about this change as we speak:
- Santa Cruz Geeks
- NextSpace
- Santa Cruz Next
- Sean Tario :)
- and so many others
I can feel it every time I climb the stairs at 101 Cooper Street. And it
feels damned good.
Andreas
Examples of forces that are bringing about this change as we speak:
- Santa Cruz Geeks
- NextSpace
- Santa Cruz Next
- Sean Tario :)
- and so many others
I can feel it every time I climb the stairs at 101 Cooper Street. And it
feels damned good.
Andreas
James Lafferty
Oct 27, 2008, 2:06:45 AM10/27/08
to santacr...@googlegroups.com
The last few weeks have been an interesting adventure, and there are, no doubt, more exciting times to come. Economic downturns are maybe a bit like wildfires-- they're painful to go through, and result in mayhem and destruction. On the other hand, they clear way for newer, healthier growth. Recently, Alan Greenspan, the guy who's gotten all the flack (perhaps a little unfairly) for this particular bubble, made spoke before Congress, saying "I found a flaw in the model that I perceived is the critical functioning structure that defines how the world works." Greenspan's model, insofar as it did function, centered on huge disparities between assessed and actual value. In the subprime mortgage market, Greenspan himself said: "It was the failure to properly price such risky assets (subprime mortgages) that precipitated the crisis."
I would assert that the roots of the issues we're facing run deeper, that the market has been unable to price housing correctly (you can check out details on the math of the housing bubble in this pretty good Wikipedia article http://en.wikipedia.org/wiki/Housing_bubble), and, more importantly, that it's been unable to price labor and skill correctly. As I'm writing this I see Roan's reply, which highlights just this failing in Santa Cruz: "Just kills me to hear 'strong pool of talent that ... is willing to take a steep discount to market rate ...' " The fact is that the market has been unwilling to pay lots of folks a fair rate for their work, imagination and energy. $700 billion is a pretty crazy golden parachute, but it also demarcates the end of the something-for-nothing approach to doing business. The Santa Cruz ethos of localism and fair dealing with folks who are part of your community.
And, of course, this is exactly where we can find the silver lining in the present storm. As Sean has pointed out, we're in a community populated by immensely talented, creative and progressive people. I don't know that I can count how many folks I've met in Santa Cruz over the past year who are eager to work, creative and driven by a desire to contribute positive value to the world. This is the new growth that will be able to thrive on the ashes of the current economic wildfire. What side of the hill you're on is going to matter much less than what usefulness you can bring to market. For us geeks, I think usefulness is going to mean employing technical know-how-- whether it's in computers or economic tools or marketing talent or whatever other expertise-- to clarify rather than obscure issues. Let's keep it real, work hard and realize that what we do is worth being paid for. As the vision Sean, Shane, the Geeks and the folks over at Next Space continues to come to fruition, we'll be looking to over the hill much less, and over the hill will be looking here much more.
Keep on keepin' on.
J.
I would assert that the roots of the issues we're facing run deeper, that the market has been unable to price housing correctly (you can check out details on the math of the housing bubble in this pretty good Wikipedia article http://en.wikipedia.org/wiki/Housing_bubble), and, more importantly, that it's been unable to price labor and skill correctly. As I'm writing this I see Roan's reply, which highlights just this failing in Santa Cruz: "Just kills me to hear 'strong pool of talent that ... is willing to take a steep discount to market rate ...' " The fact is that the market has been unwilling to pay lots of folks a fair rate for their work, imagination and energy. $700 billion is a pretty crazy golden parachute, but it also demarcates the end of the something-for-nothing approach to doing business. The Santa Cruz ethos of localism and fair dealing with folks who are part of your community.
And, of course, this is exactly where we can find the silver lining in the present storm. As Sean has pointed out, we're in a community populated by immensely talented, creative and progressive people. I don't know that I can count how many folks I've met in Santa Cruz over the past year who are eager to work, creative and driven by a desire to contribute positive value to the world. This is the new growth that will be able to thrive on the ashes of the current economic wildfire. What side of the hill you're on is going to matter much less than what usefulness you can bring to market. For us geeks, I think usefulness is going to mean employing technical know-how-- whether it's in computers or economic tools or marketing talent or whatever other expertise-- to clarify rather than obscure issues. Let's keep it real, work hard and realize that what we do is worth being paid for. As the vision Sean, Shane, the Geeks and the folks over at Next Space continues to come to fruition, we'll be looking to over the hill much less, and over the hill will be looking here much more.
Keep on keepin' on.
J.
On Sun, Oct 26, 2008 at 8:44 PM, Sean Patrick Tario <sean....@gmail.com> wrote:
Christine Kurjan
Oct 27, 2008, 2:53:24 AM10/27/08
to santacr...@googlegroups.com
Thanks for such great exposition on the topic!
Innovation consultant and still-feeling-new to Santa Cruz,
Christine Kurjan
Christine Kurjan
Donna Horne
Oct 27, 2008, 6:44:18 AM10/27/08
to santacr...@googlegroups.com
Hi, Sean-
your excellent reply finally provoked me to come out of my closet. Your words are not only well thought our but inspirational for those of us struggling in the exciting Web 2.0 space that is now syncing with new mobile technologies while living amongst the natural paradise we know as Santa Cruz.
I am the co-founder of a revolutionary rideshare service company still in "stealth mode" as we slowly develop our robust application without help from the angels and VC's that view us with skepticism from over the hill. I have to admit I joined Santa Cruz Geeks not because I am a tech geek, which I freely admit I am not, but because I wanted to listen in on the discussion amongst those experimenting with and using the latest and the best that technology has to offer. My selfish motive is to "headhunt" for potential team members for our seed stage company that will finally break down the barriers that exist today that prevent more people from carpooling. As a result of joining the group, I learned about Next Space and although as yet we don't have the funds to rent space there, it sounds like the perfect place to work when we get on solid financial footing. I did attend the Oct 8th event there and found it to be highly informative and pertinent to my situation. As a result of the reply you wrote to the LinkedIn Question, I have now joined the Santa Cruz New Tech Alliance and am looking forward to the meeting on Nov. 5th.
So thank you, Sean, and I look forward to meeting you in person soon, as well as other local computer whizzes. In the meantime, I hope I will still be welcome as a Santa Cruz Geek member even though I'm "over the hill" in age and, even though I am fluent in Czech, I know no computer language beyond theoretical level. I am a semi-retired veterinarian and a staunch environmentalist who is really fed up with driving to San Jose and San Francisco with empty car seats and often no company for the long hauls in traffic jams. But I'm not going to pick up hitchhikers and the current government/Internet service options are useless 99% of the time.
Well, instead of wondering if I should learn new veterinary techniques, I decided to jump into the new world of emerging technology. Months of research led me to develop practical answers to the problems preventing me and most people from taking advantage of carpooling as an alternative mode of transportation and to wrap a compelling business model around the whole plan. The co-founder is a true geek from San Jose so he's leading the application development but part-time so it's a slow process. I am hoping to interest some of the talent that exists here in Santa Cruz to work with us on our exciting project.
Why do I love Santa Cruz? I live in Bonny Doon close to the Vineyard (easy entertainment for many of our guests since we are in walking distance) and get to drive to town watching the sun shine on the surf along Highway 1. And when it's foggy and cold in the morning in town, I find our house enveloped by warm rays! I'm a transplant from New Hampshire and find myself not at all missing mud season and the simultaneous swarms of black flies and mosquitoes. Being a scuba diver, I found my soul mate and husband in the Caribbean but thankfully he was a Santa Cruz old timer so he imported me here and I have never objected!
Cheers,
Donna
Steve Terry wrote:
your excellent reply finally provoked me to come out of my closet. Your words are not only well thought our but inspirational for those of us struggling in the exciting Web 2.0 space that is now syncing with new mobile technologies while living amongst the natural paradise we know as Santa Cruz.
I am the co-founder of a revolutionary rideshare service company still in "stealth mode" as we slowly develop our robust application without help from the angels and VC's that view us with skepticism from over the hill. I have to admit I joined Santa Cruz Geeks not because I am a tech geek, which I freely admit I am not, but because I wanted to listen in on the discussion amongst those experimenting with and using the latest and the best that technology has to offer. My selfish motive is to "headhunt" for potential team members for our seed stage company that will finally break down the barriers that exist today that prevent more people from carpooling. As a result of joining the group, I learned about Next Space and although as yet we don't have the funds to rent space there, it sounds like the perfect place to work when we get on solid financial footing. I did attend the Oct 8th event there and found it to be highly informative and pertinent to my situation. As a result of the reply you wrote to the LinkedIn Question, I have now joined the Santa Cruz New Tech Alliance and am looking forward to the meeting on Nov. 5th.
So thank you, Sean, and I look forward to meeting you in person soon, as well as other local computer whizzes. In the meantime, I hope I will still be welcome as a Santa Cruz Geek member even though I'm "over the hill" in age and, even though I am fluent in Czech, I know no computer language beyond theoretical level. I am a semi-retired veterinarian and a staunch environmentalist who is really fed up with driving to San Jose and San Francisco with empty car seats and often no company for the long hauls in traffic jams. But I'm not going to pick up hitchhikers and the current government/Internet service options are useless 99% of the time.
Well, instead of wondering if I should learn new veterinary techniques, I decided to jump into the new world of emerging technology. Months of research led me to develop practical answers to the problems preventing me and most people from taking advantage of carpooling as an alternative mode of transportation and to wrap a compelling business model around the whole plan. The co-founder is a true geek from San Jose so he's leading the application development but part-time so it's a slow process. I am hoping to interest some of the talent that exists here in Santa Cruz to work with us on our exciting project.
Why do I love Santa Cruz? I live in Bonny Doon close to the Vineyard (easy entertainment for many of our guests since we are in walking distance) and get to drive to town watching the sun shine on the surf along Highway 1. And when it's foggy and cold in the morning in town, I find our house enveloped by warm rays! I'm a transplant from New Hampshire and find myself not at all missing mud season and the simultaneous swarms of black flies and mosquitoes. Being a scuba diver, I found my soul mate and husband in the Caribbean but thankfully he was a Santa Cruz old timer so he imported me here and I have never objected!
Cheers,
Donna
Donna Horne, DVM
Cofounder, President
ZoomPool, Inc.
www.ZoomPool.com
p. 888.966.6269
c. 831.345.5479
"Connecting excellent drivers with cool riders
for a greener planet"
Steve Terry wrote:
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William Tysseling
Oct 27, 2008, 12:20:57 PM10/27/08
to santacr...@googlegroups.com
Lutris Technologies, Santa Cruz Operation, Santa Cruz Biotech, Grey Zone, and TGV all come to mind as companies that have successfully organized and been financed in Santa Cruz and all (with the possible exception of Lutris) approached or passed the 200 employee threshold. There are many others who have thrived – and many smaller companies that continue to operate on this side of the hill.
I am among those who believe that money isn’t the problem – having worked with a couple of hundred start-ups from high-tech to hay balers. Projects that are sufficiently mature, with defensible IP that has realizable market potential, and capable management find funding. It is the period of achieving “maturity” that is financially difficult… and not a time that VCs are interested in placing money with any company no matter where they are located.
There was as brief period in the late 1990s when this was less true – a shared hallucination within the VC industry which ended in the .com crash. The investment world returned to a more stable strategy over the last five years but there continues to be money in the market for good opportunities – and a longer period for start-ups to achieve expectations.
It is worth noting Daniel Silver’s formula for VC investors: 3x the size of the opportunity/problem + 2x the quality of the solution + 1x the quality of the entrepreneur. This holds out great hope for great ideas… wherever they are located.
This is not to minimize the question of VC’s aversion to driving the hill. Steve Wesley – former eBay exec, state comptroller, and currently a VC in the Kleiner-Perkins complex – gave a presentation about a eighteen months ago at UCSC on getting more investment into Santa Cruz which he titled, “The Highway 17 Challenge”. The good news was that he talked about Santa Cruz as a magnet in a .ppt slide that said “Make the region (Santa Cruz) a leader – (it) always has been!”. The presentation described the nexus between UCSC / IT tech / energy science / biotech and new products and the great potential for investment in Santa Cruz.
When I started working with start-ups – in the 1970s – exit strategies were generally not part of a business plan. There was an understanding the VCs would exit at some point but how they would exit was built into the financing negotiations – not the company’s operation plans. Entrepreneurs generally expected to be long-term managers / owners.
However, start-up business planning changed in the mid-1980s and by 2000 business plans were written with the expectation of the liquidation of everyone’s interest within 18 months. The time for exit has been extended since, but many if not most of the companies that are started in Santa Cruz aspire to an early liquidation through purchase of either the company or the proven IP. For some, that they are no longer in Santa Cruz is a testament to their success – not a failure.
Do use care in describing Santa Cruz in terms of the number of large companies housed here… our most likely role in the enterprise world is as a home to creativity, the commercialization of new technologies, new designs, and new products. This implies some level of insecurity but also excitement and, for some, very significant entrepreneurial rewards.
There are some great entrepreneurial spaces – from the relatively affordable NextSpace to the elegant in the new Rittenhouse building. Our strength continues to be the genius that is bred by UCSC, our nexus to Silicon Valley, and a physical environment that draws creative people and encourages expansive thinking.
Sean and others in the stream have done a good job of describing the opportunity environment and why it exists here. Let’s continue to advocate for Santa Cruz as both a center of entrepreneurship and a safe haven for emerging businesses.
Carl
Oct 29, 2008, 3:58:55 AM10/29/08
to Santa Cruz Geeks
Hi Donna,
I've been following the carpooling scene closely so I'd really like to
find out more about your new service! I also founded a carpooling
site, gotalift.com which is a carpooling search engine that I started
back when I was living in Santa Cruz not that long ago. You may have
also heard of RideSpring, another locally developed carpool service.
The carpooling scene has become quite crowded lately! There are
websites covering regional areas (i.e. 511 Rideshare), national and
international (erideshare.com, craigslist.org, lots of others). About
5 or so Facebook apps (Zimride, GoLoco, PickupPal, etc.). Even new
mobile apps on the iPhone and Google's Android platform. I'm really
interested in your take on it and how your service would differ from
existing solutions out there.
My solution was to create a search engine to search all of the
carpooling sites, which is still in progress. It's been put on hold
for a bit, but I hope to resurrect it at some point. I'm also
interested in finding others who could help. I might just be one of
those "potential team members" that you are looking for! :-)
I'm living in the Bay Area now, but still visit Santa Cruz frequently,
and it would be nice to talk with you sometime.
-Carl
> *Donna Horne, DVM*
> Cofounder, President
> ZoomPool, Inc.www.ZoomPool.com
> p. 888.966.6269
> c. 831.345.5479
> ZoomPool, Inc. logo <http://www.zoompool.com>
I've been following the carpooling scene closely so I'd really like to
find out more about your new service! I also founded a carpooling
site, gotalift.com which is a carpooling search engine that I started
back when I was living in Santa Cruz not that long ago. You may have
also heard of RideSpring, another locally developed carpool service.
The carpooling scene has become quite crowded lately! There are
websites covering regional areas (i.e. 511 Rideshare), national and
international (erideshare.com, craigslist.org, lots of others). About
5 or so Facebook apps (Zimride, GoLoco, PickupPal, etc.). Even new
mobile apps on the iPhone and Google's Android platform. I'm really
interested in your take on it and how your service would differ from
existing solutions out there.
My solution was to create a search engine to search all of the
carpooling sites, which is still in progress. It's been put on hold
for a bit, but I hope to resurrect it at some point. I'm also
interested in finding others who could help. I might just be one of
those "potential team members" that you are looking for! :-)
I'm living in the Bay Area now, but still visit Santa Cruz frequently,
and it would be nice to talk with you sometime.
-Carl
> Cofounder, President
> ZoomPool, Inc.www.ZoomPool.com
> p. 888.966.6269
> c. 831.345.5479
> ZoomPool, Inc. logo <http://www.zoompool.com>
Sean Patrick Tario
Oct 29, 2008, 12:24:42 PM10/29/08
to Santa Cruz Geeks
Another step in the right direction... congrats on the press
12seconds!
http://www.santacruzsentinel.com/ci_10843877?IADID=Search-www.santacruzsentinel.com-www.santacruzsentinel.com
Page B5 in the Business Section of the Santa Cruz Sentinel today for
those of you who want to see it in print.
Happy Wednesday!
Sean
> are poised right now. I highly recommend you take a read -http://12
>
> The Santa Cruz New Tech Alliance Meetup -http://newtech.meetup.com/86/
12seconds!
http://www.santacruzsentinel.com/ci_10843877?IADID=Search-www.santacruzsentinel.com-www.santacruzsentinel.com
Page B5 in the Business Section of the Santa Cruz Sentinel today for
those of you who want to see it in print.
Happy Wednesday!
Sean
> seconds.wordpress.com/2008/10/09/passion-is-recession-proof/
>
> Another brilliant company here in town growing like mad, also founded
> by seasoned entrepreneurs and grounded folks, iswww.uservoice.com.
> In the past few months alone they have acquired over 4,200 users and
> recently landed their first hand full of enterprise accounts.
>
> Also worth mentioning is NextSpace, the 11,000 square foot shared
> working space on the corner of Pacific and Cooper, where both of these
> companies reside, along with a dozen other small businesses trying to
> make a name for themselves (and some who have already, likewww.quiddities.com
> andwww.bloofusion.com).
>
> If you've picked up the latest GoodTimes, you would also know about a
> group here in town that I'm a part of (www.santacruznext.org) that
>
> Another brilliant company here in town growing like mad, also founded
> by seasoned entrepreneurs and grounded folks, iswww.uservoice.com.
> In the past few months alone they have acquired over 4,200 users and
> recently landed their first hand full of enterprise accounts.
>
> Also worth mentioning is NextSpace, the 11,000 square foot shared
> working space on the corner of Pacific and Cooper, where both of these
> companies reside, along with a dozen other small businesses trying to
> make a name for themselves (and some who have already, likewww.quiddities.com
> andwww.bloofusion.com).
>
> If you've picked up the latest GoodTimes, you would also know about a
> is starting to take some significant steps forward in getting an
> entire generation here in town engaged, informed and involved with
> their community. Haven't seen it? Now you have -http://www.gtweekly.com/good-times/covers/new-blood
> entire generation here in town engaged, informed and involved with
>
> Other groups helping build community capital @ high tech here in town
> are;
>
> The Santa Cruz Geeks -http://groups.google.com/group/santacruzgeeks
> Other groups helping build community capital @ high tech here in town
> are;
>
>
> The Santa Cruz New Tech Alliance Meetup -http://newtech.meetup.com/86/
>
> And have you heard about what the UCSC School of Engineering has going
> on lately?! If you haven't, you should -http://www.soe.ucsc.edu/
> And have you heard about what the UCSC School of Engineering has going
Sol Lipman
Oct 29, 2008, 12:52:39 PM10/29/08
to santacr...@googlegroups.com
Thanks, Sean!
lricro...@gmail.com
Oct 30, 2008, 1:01:15 AM10/30/08
to Santa Cruz Geeks
Another GREAT benefit of Santa Cruz Geeks: Name Dropping!
I was not aware of the various offerings of carpooling sites. Thank
you very much Geeks!
I will definitely be looking into them.
I was not aware of the various offerings of carpooling sites. Thank
you very much Geeks!
I will definitely be looking into them.
Carl Gorringe
Oct 30, 2008, 3:24:09 AM10/30/08
to santacr...@googlegroups.com
Here's an even more extensive list of carpooling websites!
25+ Resources for Carpooling
http://mashable.com/2008/09/30/carpooling/
-Carl
Donna Horne
Oct 30, 2008, 4:22:36 AM10/30/08
to santacr...@googlegroups.com
Hi, Carl-
thank you for your interest. I checked out your web site and put in Santa Cruz to San Francisco and didn't find one single entry! This is the one of the major frustrations with the state of affairs regarding carpooling: lack of density of carpool options.
The other barriers that currently exist are: personal safety concerns (especially important for women carpoolers and it turns out that 60% of those who do carpool are female!), no standardized methods to share the driving costs, and lack of spontaneity for those of us who decide to rideshare at the last minute. Believe me, I have done extensive research on this subject and know about over 50 carpooling sites, none of which do an adequate job to resolve all these concerns. If I decide to look for a carpool partner tomorrow on the spur of the minute, how am I supposed to find a safe ride?
This is why I founded ZoomPool. Sorry I can't tell you more at this time since we are in development and have a lot of heart, sweat equity and our own money invested in the project. Even the corporate web page is still being tweaked and refined. Nothing beyond the initial page is visible because work is in progress. We hope to be ready for beta launch early '09 with a very robust application. Currently we still have to work in our regular day jobs ( like Sol and the 12seconds guys) so that does limit the speed of development.
I can tell you that we will be a location based service (which is very important to having success with the density issue) and we will have a mobile app. But for the real "magic" that will truly make us a break-through service, please hang in there for a few months. I'll let you know when we're ready to begin Q+A testing.
What we are looking for right now is a programmer that knows Flex, C#.NET and has experience in GPS matching.
Thanks for your interest in our project, Carl!
Best,
Donna
thank you for your interest. I checked out your web site and put in Santa Cruz to San Francisco and didn't find one single entry! This is the one of the major frustrations with the state of affairs regarding carpooling: lack of density of carpool options.
The other barriers that currently exist are: personal safety concerns (especially important for women carpoolers and it turns out that 60% of those who do carpool are female!), no standardized methods to share the driving costs, and lack of spontaneity for those of us who decide to rideshare at the last minute. Believe me, I have done extensive research on this subject and know about over 50 carpooling sites, none of which do an adequate job to resolve all these concerns. If I decide to look for a carpool partner tomorrow on the spur of the minute, how am I supposed to find a safe ride?
This is why I founded ZoomPool. Sorry I can't tell you more at this time since we are in development and have a lot of heart, sweat equity and our own money invested in the project. Even the corporate web page is still being tweaked and refined. Nothing beyond the initial page is visible because work is in progress. We hope to be ready for beta launch early '09 with a very robust application. Currently we still have to work in our regular day jobs ( like Sol and the 12seconds guys) so that does limit the speed of development.
I can tell you that we will be a location based service (which is very important to having success with the density issue) and we will have a mobile app. But for the real "magic" that will truly make us a break-through service, please hang in there for a few months. I'll let you know when we're ready to begin Q+A testing.
What we are looking for right now is a programmer that knows Flex, C#.NET and has experience in GPS matching.
Thanks for your interest in our project, Carl!
Best,
Donna
Donna Horne, DVM
Cofounder, President
ZoomPool, Inc.
www.ZoomPool.com
p. 888.966.6269
c. 831.345.5479
"Connecting excellent drivers with cool riders for a greener planet"
Carl wrote:
--~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Santa Cruz Geeks" group. To post to this group, send email to santacr...@googlegroups.com
Carl Gorringe
Oct 30, 2008, 4:16:23 PM10/30/08
to santacr...@googlegroups.com
Hi Donna,
I just tried gotalift.com with a search from Santa Cruz to SF, and out
of the first 70 of 600+ results found 3 people looking for rides to SF
and 1 person driving from Aptos to SF, though I had to go through a few
pages to find it. Many more are offering rides to other locations in
the Bay Area. I guess some days are better than others!
The problem is really of getting enough critical mass of users to be
useful. Gotalift is currently indexing 12K+ ride posts from Craigslist,
which isn't that bad, but there are still many more to be found on
various other carpooling sites. While attending TransitCamp some of the
other carpool site developers and I discussed creating an open protocol
for sharing carpooling data among sites. I'd like to get the ball
rolling again on this idea and invite you to join the discussion! Let's
talk some more over private email so to avoid spamming people on the
list. :-)
cheers
-Carl
Donna Horne wrote:
> Hi, Carl-
> thank you for your interest. I checked out your web site and put in
> Santa Cruz to San Francisco and didn't find one single entry! This is
> the one of the major frustrations with the state of affairs regarding
> carpooling: lack of density of carpool options.
> The other barriers that currently exist are: personal safety concerns
> (especially important for women carpoolers and it turns out that 60%
> of those who do carpool are female!), no standardized methods to share
> the driving costs, and lack of spontaneity for those of us who decide
> to rideshare at the last minute. Believe me, I have done _extensive_
peterk
Nov 12, 2008, 12:03:51 PM11/12/08
to Santa Cruz Geeks
Hi All,
Saw this on TechCrunch this morning. Hilariously short sided.
http://www.techcrunch.com/2008/11/12/ill-never-let-canada-live-this-down/
I’ll Never Let Canada Live This Down: Evil Carpooling Startup Fined
by Michael Arrington on November 12, 2008
A ridiculous update on a ridiculous lawsuit: In August I wrote about a
carpooling startup called PickupPal. The idea is that people can
gather on the site to find others traveling to the same places, and
carpool there to save gas.
Great idea, right? Wrong. The bus companies freaked and sued under an
Ontario law that limits carpoolers to traveling only from home to work
and back, riding with the same driver every day and paying only by the
week, among other restrictions. This is despite the fact that the
government has spent “billions” in carpooling lanes.
Anyway, the court case was decided and PickupPal lost. They were fined
CA$11,000 and forced to keep that despicable carpooling activity
within the strict limits of the law:
Well we got our ruling from the Ontario Highway Transportation
Board (OHTB) and they say that it is illegal to Rideshare in Ontario,
(here is the official decision [PDF 0.98 MB]).
The only way you can ride with someone is if you meet ALL of the
following extremely impractical set of specific criteria:
* You must travel from home to work only – (Not Home to School, or
Home to the Hospital or the Airport)
* You cannot cross municipal boundaries – (Live outside the city
and drive in – sorry you cannot share the ride with your neighbour)
* You must ride with the same driver each day – (Want to mix it up
go with one person one day and another person another day – no sorry
cannot do that – must be same person each day)
* You must pay the driver no more frequently than weekly –
(Neighbour drives you to work better not pay her right away just in
case she drives you later on in the week)
Saw this on TechCrunch this morning. Hilariously short sided.
http://www.techcrunch.com/2008/11/12/ill-never-let-canada-live-this-down/
I’ll Never Let Canada Live This Down: Evil Carpooling Startup Fined
by Michael Arrington on November 12, 2008
A ridiculous update on a ridiculous lawsuit: In August I wrote about a
carpooling startup called PickupPal. The idea is that people can
gather on the site to find others traveling to the same places, and
carpool there to save gas.
Great idea, right? Wrong. The bus companies freaked and sued under an
Ontario law that limits carpoolers to traveling only from home to work
and back, riding with the same driver every day and paying only by the
week, among other restrictions. This is despite the fact that the
government has spent “billions” in carpooling lanes.
Anyway, the court case was decided and PickupPal lost. They were fined
CA$11,000 and forced to keep that despicable carpooling activity
within the strict limits of the law:
Well we got our ruling from the Ontario Highway Transportation
Board (OHTB) and they say that it is illegal to Rideshare in Ontario,
(here is the official decision [PDF 0.98 MB]).
The only way you can ride with someone is if you meet ALL of the
following extremely impractical set of specific criteria:
* You must travel from home to work only – (Not Home to School, or
Home to the Hospital or the Airport)
* You cannot cross municipal boundaries – (Live outside the city
and drive in – sorry you cannot share the ride with your neighbour)
* You must ride with the same driver each day – (Want to mix it up
go with one person one day and another person another day – no sorry
cannot do that – must be same person each day)
* You must pay the driver no more frequently than weekly –
(Neighbour drives you to work better not pay her right away just in
case she drives you later on in the week)
Donna Horne
Nov 12, 2008, 8:36:24 PM11/12/08
to santacr...@googlegroups.com
Saw it too!
Ridiculous situation. Really glad we don't have a law like that here in
the US.
I liked how one of the bloggers suggested renaming the service "meeting/ social networking". The PickUpPal folks should consider that as a way to sidestep the law.
Best,
Donna
I liked how one of the bloggers suggested renaming the service "meeting/ social networking". The PickUpPal folks should consider that as a way to sidestep the law.
Best,
Donna
Donna Horne, DVM
Cofounder, President
ZoomPool, Inc.
www.ZoomPool.com
p. 888.966.6269
c. 831.345.5479
"Connecting excellent drivers with cool riders
for a greener planet"
peterk wrote:
--~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Santa Cruz Geeks" group. To post to this group, send email to santacr...@googlegroups.com
Paul McGrath
Nov 13, 2008, 5:51:45 PM11/13/08
to Santa Cruz Geeks
Hi All,
Yes, this is very unfortunate. But I am not surprised. If you are
seriously challenging the status quo, you will upset many people and
organizations that gain from keeping things just as they are (no
matter how much the status quo sucks), and they will try to stop you.
This is happening right here in environmental, progressive Santa Cruz.
Earlier this year we provided the RideSpring alternative commute
service free to staff and faculty at Cabrillo College for six months -
with very good results. Cabrillo then applied for an air district
grant to expand the RideSpring service to all 17,000 students for
2009. They wanted to get the same great results that have been
achieved with RideSpring at the City and the County of Santa Cruz:
https://www.ridespring.com/citysantacruz
https://www.ridespring.com/santacruzco
RideSpring was their top priority for their grant application to
reduce car commute trips. Unfortunately, the air board (http://
www.mbuapcd.org/) and the Santa Cruz County Regional Transportation
Commission (SCCRTC: http://www.sccrtc.org/) don't want new effective
solutions to reduce car commute trips in Santa Cruz. So what did they
do? Recommend $0 (zero!) funding for Cabrillo College to use
RideSpring. Instead they awarded $120,000 to the SCCRTC (yes, that is
right, they awarded the grant money to themselves). What is the top
priority of the SCCRTC? A. Widening Hwy.1. So a grant program (funded
by YOUR vehicle license fees) aimed at reducing car commute trips and
air pollution, ends up funding an organization that is focused on
widening Hwy.1. You can read more about it here:
https://www.ridespring.com/cabrillo/index.php?func=registration
Although, it is not all bad news...
We continue to provide the RideSpring service to the City and the
County of Santa Cruz. However, I would love to see RideSpring
significantly reduce car commute trips at other large organizations
here, such as UCSC, Dominican Hospital, etc., but the SCCRTC has been
very successful at limiting further growth of RideSpring on this side
of the hill. Which is rather sad, when you consider RideSpring is a
homegrown clean tech company based here, and creating local green
jobs.
Thankfully, the majority of our market is beyond Santa Cruz. So now we
are focusing on companies/organizations in Silicon Valley and beyond.
SAP and eBay began using RideSpring in September....
https://www.ridespring.com/sap
https://www.ridespring.com/ebay
So what I have learned and would like to share with other
entrepreneurs…
- You have limited resources. Pick your battles wisely
- It’s great to go for the win-win. But an equally important question
is: Who is going to be pissed off by the success of your business/
technology? If you are creating significant change, you will see
significant opposition.
Finally, I don't believe this problem in Canada will be avoided by a
simple re-naming of the service. The problem is not a technicality
with the law, but with entrenched, motivated organizations, with
significant resources, trying to preserve what they have. I believe
the only reason it hasn't happened in the US yet is because carpool
services have not made a significant impact - yet. But when they do I
expect there will be significant opposition from many directions.
Best,
Paul
--
Paul McGrath
RideSpring, Inc.
www.ridespring.com
831.278.0312
--
On Nov 12, 5:36 pm, Donna Horne <dho...@zoompool.com> wrote:
> Saw it too! Ridiculous situation. Really glad we don't have a law like
> that here in the US.
> I liked how one of the bloggers suggested renaming the service "meeting/
> social networking". The PickUpPal folks should consider that as a way to
> sidestep the law.
> Best,
> Donna
>
Yes, this is very unfortunate. But I am not surprised. If you are
seriously challenging the status quo, you will upset many people and
organizations that gain from keeping things just as they are (no
matter how much the status quo sucks), and they will try to stop you.
This is happening right here in environmental, progressive Santa Cruz.
Earlier this year we provided the RideSpring alternative commute
service free to staff and faculty at Cabrillo College for six months -
with very good results. Cabrillo then applied for an air district
grant to expand the RideSpring service to all 17,000 students for
2009. They wanted to get the same great results that have been
achieved with RideSpring at the City and the County of Santa Cruz:
https://www.ridespring.com/citysantacruz
https://www.ridespring.com/santacruzco
RideSpring was their top priority for their grant application to
reduce car commute trips. Unfortunately, the air board (http://
www.mbuapcd.org/) and the Santa Cruz County Regional Transportation
Commission (SCCRTC: http://www.sccrtc.org/) don't want new effective
solutions to reduce car commute trips in Santa Cruz. So what did they
do? Recommend $0 (zero!) funding for Cabrillo College to use
RideSpring. Instead they awarded $120,000 to the SCCRTC (yes, that is
right, they awarded the grant money to themselves). What is the top
priority of the SCCRTC? A. Widening Hwy.1. So a grant program (funded
by YOUR vehicle license fees) aimed at reducing car commute trips and
air pollution, ends up funding an organization that is focused on
widening Hwy.1. You can read more about it here:
https://www.ridespring.com/cabrillo/index.php?func=registration
Although, it is not all bad news...
We continue to provide the RideSpring service to the City and the
County of Santa Cruz. However, I would love to see RideSpring
significantly reduce car commute trips at other large organizations
here, such as UCSC, Dominican Hospital, etc., but the SCCRTC has been
very successful at limiting further growth of RideSpring on this side
of the hill. Which is rather sad, when you consider RideSpring is a
homegrown clean tech company based here, and creating local green
jobs.
Thankfully, the majority of our market is beyond Santa Cruz. So now we
are focusing on companies/organizations in Silicon Valley and beyond.
SAP and eBay began using RideSpring in September....
https://www.ridespring.com/sap
https://www.ridespring.com/ebay
So what I have learned and would like to share with other
entrepreneurs…
- You have limited resources. Pick your battles wisely
- It’s great to go for the win-win. But an equally important question
is: Who is going to be pissed off by the success of your business/
technology? If you are creating significant change, you will see
significant opposition.
Finally, I don't believe this problem in Canada will be avoided by a
simple re-naming of the service. The problem is not a technicality
with the law, but with entrenched, motivated organizations, with
significant resources, trying to preserve what they have. I believe
the only reason it hasn't happened in the US yet is because carpool
services have not made a significant impact - yet. But when they do I
expect there will be significant opposition from many directions.
Best,
Paul
--
Paul McGrath
RideSpring, Inc.
www.ridespring.com
831.278.0312
--
On Nov 12, 5:36 pm, Donna Horne <dho...@zoompool.com> wrote:
> Saw it too! Ridiculous situation. Really glad we don't have a law like
> that here in the US.
> I liked how one of the bloggers suggested renaming the service "meeting/
> social networking". The PickUpPal folks should consider that as a way to
> sidestep the law.
> Best,
> Donna
>
> *Donna Horne, DVM*
> Cofounder, President
> ZoomPool, Inc.www.ZoomPool.com
> p. 888.966.6269
> c. 831.345.5479
> ZoomPool, Inc. logo <http://www.zoompool.com>
> /"Connecting excellent drivers with cool riders for a greener planet"/
> Cofounder, President
> ZoomPool, Inc.www.ZoomPool.com
> p. 888.966.6269
> c. 831.345.5479
> ZoomPool, Inc. logo <http://www.zoompool.com>
>
> peterk wrote:
> > Hi All,
>
> > Saw this on TechCrunch this morning. Hilariously short sided.
>
> >http://www.techcrunch.com/2008/11/12/ill-never-let-canada-live-this-d...
> peterk wrote:
> > Hi All,
>
> > Saw this on TechCrunch this morning. Hilariously short sided.
>
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