PhotoBucket was started here in Colorado by two ex Level 3 guys. The CEO, Alex Welch, went to Colorado State University, and co-founder Darren Crystal went to school in Austin. The developers are all still here in Denver, but there is now a business and sales office in Palo Alto.
And just like that, you have yourself one highly credible “Silicon Valley startup“. Hmmm.
I love Fred’s point. It’s no revelation that Silicon Valley is the center of the tech startup world. What’s way more interesting to consider is that many innovative companies start up elsewhere.
I’d like to echo Fred’s call for research that says a Silicon Valley startup is more likely to succeed (by some globally accepted measures) than one started elsewhere. I’m not talking about just those that are venture funded, although that would also be an interesting comparison. If you’re trying to measure the effect Silicon Valley has on the odds of your startup being successful, then you need to look at all startups, not just the chosen few.
One thing is clear: there are other successful ecosystems, and they’re getting even better. So don’t pack up and move to Silicon Valley just yet. If it’ll work there, it’ll work here too.
David,
I agree and hope the Denver/Boulder area will continue to rise as a major technology center balanced with a reasonable cost of living and good lifestyle. This is a subject I feel quite strongly about, as our startup is based here with both of our main competitors headquartered in Silicon Valley. While we are primarily a tech company, we also have a major manufacturing arm that benefits from Denver’s lower cost of living compared to the Bay Area.
While a startup could locate their manufacturing arm thousands of miles away from the development office/staff (midwest, for example), in a startup environment there are many benefits of having everyone under one roof. It would be interesting to compare the benefits of having more tech. resources in the valley vs. the lower cost of living elsewhere. I would imagine that if you can mature out of the ‘startup’ phase in the Denver area, you will enjoy a much lower cost structure compared to your competitors located in the Valley. I don’t feel there is any lack of talent here. The main question is, can you get through those first critical years with less resources available to you?