Smash Notes

Back to What It Takes to Win as a Founder | Ben Horowitz, with Ben Horowitz & Andrew Chen.

Why Was the 2007 iPhone Still a Breakthrough?

Ben Horowitz says the 2007 iPhone was still a breakthrough because a new product only has to be unbelievable at one thing. Reviews called it a bad phone, a way worse computer than a normal computer, and a keyboard much worse than a BlackBerry. It put a camera and a GPS in a pocket, and you cannot build Uber on a PC even now. It did not have to be better than the last thing at everything.

The same test shows when a technology looks either unstoppable or disqualified by today's flaws. Everybody thought 3D printers were the future and would print anything, but 3D printers do not follow Moore's law. More compute power did not make them better, because progress depended on complicated material science, which does not follow that trajectory. 3D printers were not going to change that fast or that much. With AI, hallucinations looked disqualifying and were not that tough a problem to deal with, and sometimes the hallucinations are good.

Founders get the same reading. Something is horribly wrong with every entrepreneur, including him. The firm is not looking for a lack of weakness. The question is whether they are world-class at a thing, the best in the world at something, and whether they have a secret nobody else has. What matters is the magnitude of the strength.

Grokipedia·Ben Horowitz·BlackBerry

Transcript

What It Takes to Win as a Founder | Ben Horowitz ·

a16z

More from this episode

  1. Why Does AI Feel Like the Early Internet?Ben Horowitz says AI feels like the early internet because every day brings some very new awesome thing. That daily surprise is what is really similar.
  2. Can a Tiny Team Build a Billion-dollar AI Company?Ben Horowitz tells Andrew Chen that a very small team can reach a giant audience and a ton of money, and he is sure about that part.
  3. Will AI Agents Make Software Applications Matter Less?Ben Horowitz says the software application may be the thing that fades the most. A person may just ask an AI to do the work, with no application in between.
  4. How Much Better Is ChatGPT Than Grok?Ben Horowitz says ChatGPT is only marginally better than Grok if someone were starting from scratch.
  5. How Is Venture Capital Changing as Companies Get Easier to Build?Ben Horowitz says the venture industry was basically the same from 1970 to 2008 and 2009, because firms were built not to change. a16z started in 2009.
  6. What Does Ben Horowitz Look for in an Investor?Ben Horowitz says the thing founders do not have is knowing how to do the CEO job.
  7. Is AI Film a New Medium?Ben Horowitz is pretty sure AI video and entertainment is a new medium. AI film will be as different from film as film was from plays.
  8. How Early Did Ben Horowitz Go Public?Ben Horowitz went public on $2 million in trailing 12-month revenue, 18 months after founding, on a forecast from $2 million to $75 million.
  9. How Do You Talk to a Difficult Chief Technology Officer?Ben Horowitz says there are no five steps for being a CEO.

People

More answers like this

More with Ben Horowitz

Related episodes

Plays from this note through the rest of the episode.

Weekly highlights

One letter a week.

The notes worth hearing, with the minute they were said.