How to Be Silicon Valley

Paul Graham’s essay How to Be Silicon Valley argues that Silicon Valley’s success stems from people, not geography or infrastructure.

The Core Thesis

Moving the right population elsewhere could replicate its success anywhere.

Essential Requirements

Two groups are necessary: “rich people and nerds.” These are the catalysts for startup formation. Buildings, government investment, and bureaucratic structures cannot substitute for this combination.

Why Universities Matter

Top-tier universities act as magnets attracting talented individuals. A world-class computer science department draws researchers across thousands of miles.

City Personality

Successful startup hubs require towns with distinctive character—preserved neighborhoods, independent businesses, and organic development.

Demographics and Culture

• Young people drive startup formation
• Cities must maintain vibrant centers
• Tolerate unconventional ideas
• Offer pleasant living conditions

High-tech hubs tend to be politically liberal because they embrace odd concepts essential to innovation.

Organic Growth

Startup ecosystems cannot be manufactured quickly. They develop through self-reinforcing cycles requiring years to mature.

What would make your city a startup hub? I’d love to hear at persdre@gmail.com.