Bezos says "customer" 16 times in this interview. That's why Amazon wins.
Now replace "Internet" with "Web3"
Imagine a Web3 founder saying:
"I don't care if we're considered a Web3 company. I care about delivering the best customer experience."
Does any Web3 company say this?
Today, he's the CEO of a $1.8 trillion company.
In 1993, he was just another middle manager doing Excel demos.
Satya Nadella worked at Microsoft for 22 years.
He climbed the ladder.
And is worth ~$700 million today.
There are many ways to win.
Sam Altman warned us:
“Everyone thinks you can hire someone to do this."
"That fails 100% of the time."
A board of directors won't cut it.
The secret to building a generational company, according to him?
The founder doing this every day:
When I graduated college, my plan was:
- Start at a big company (~5,000)
- Then work at a smaller one (~50)
- Then join as an early employee (~8)
- Then start my own
Here’s why and what I learned along the way:
Jeff Bezos was scared.
In 1997, Barnes & Noble opened their online store.
Amazon had 125 employees.
B&N had 30,000.
Amazon had $60 million in sales
B&N had $3 billion.
Jeff: “It was so scary for us”
Obviously, he crushed them.
How?
He focused on this instead:
"Be a doer, not a talker."
Sam Altman proved it:
The doers won. The talkers lost.
Within a week of getting ousted as CEO of OpenAI:
— 710/770 employees threatened to quit
— Sam gets reinstated as CEO
— The board that ousted him gets fired.
Why would this be inevitable,
Jeff Bezos was scared.
In 1997, Barnes & Noble opened an online store.
Amazon had 125 employees.
B&N had 30,000.
Amazon had $60 million in sales.
B&N had $3 billion.
@JeffBezos
: “It was so scary for us.”
Obviously, he crushed them.
How?
He focused on
"People think creating a company is going to be fun."
Elon Musk knows:
Entrepreneurship isn't for the faint of heart.
The key to being a great founder?
Embrace this:
In 2013, Jeff Bezos called his shot:
"Amazon delivery to your door in 30 minutes".
How?
Drones.
Jeff thought it'd take 5 years.
It took 10.
But it's finally here.
This week, Prime Air is live in California and Texas.
Long-term thinking connects all world-class companies.
In 2006, Apple unveiled the “Get a Mac” commercials.
It was one of Apple’s most successful campaigns.
It led to a 39% increase in sales.
And now?
Justin Long, the spokesperson for Mac, is now a PC.
"People get stress wrong all the time."
"Stress doesn't come from hard work!"
The secret to conquering stress, according to Jeff Bezos?
Take this action:
2. Tribal knowledge
Big companies are full of legacy tech. And custom-built internal tooling.
These are skills you can't bring anywhere else.
If you're not careful, you'll only be an expert at THEIR systems.
Focus on building both internal AND transferable expertise.
Today, he's the CEO of a $2.1 trillion company.
In 1993, he was just another middle manager doing Excel demos.
Satya Nadella worked at Microsoft for 22 years.
He climbed the ladder.
And is worth $700 million today.
There are many ways to win.
At 30, Jeff Bezos left a cushy hedge fund job to start an online bookstore.
Why?
"I don't want to be 80 years old thinking back over my life and cataloging a bunch of major regrets."
Love this clip on Jeff's Regret Minimization framework for life:
5. Lack of recognition
You should be recognized for 70% of all the work you do.
If you expect to be recognized for 100% of your work, you're likely not a team player.
If you're recognized for _less_ than 70% of your work, you're being taken for granted. And being underpaid.
At 30, Jeff Bezos quit a cushy hedge fund job to start an online bookstore.
Why?
"I don't want to be 80 years old thinking back over my life and cataloging a bunch of major regrets."
Here is Jeff's Regret Minimization framework:
4. Getting raises, not readjustments
If you're a top performer at your company, best case, you get a 7% raise each year.
Even if they should, companies don't adjust people's pay by 50%.
If you were to switch jobs, you might see that 50% boost.
The iPod put 1,000 songs in your pocket.
Does Steve Jobs talk about gigabytes of storage?
Of course not.
He knew the only marketing tip that matters:
Sell outcomes, not features.
1. Being someone's lieutenant
If you're good, someone at the company will try to collect you.
They’ll imply that loyalty to them will fast-track your career.
They have a few followers already in their trap.
Avoid them. They will never let you excel past them.
Elon Musk was broke.
Despite this, he turned down the hamster wheel of academia.
More scholarships. More stipends. More studies.
Instead, he lived like a rat and started building.
Don't bet against people who see the real prize:
"I don't think you're born with it!"
Before Tim Cook went to Apple, people called him crazy. He was at Compaq, the top PC company in the world.
And he considered throwing it all away to join Apple.
"I couldn't get the chart to say what I wanted!"
The lesson for every
In 1993, Satya Nadella was just another middle manager doing Excel demos.
Today, Sam Altman works for him.
It took 22 years of climbing the ladder at Microsoft, but Nadella is now the global face of the AI revolution.
There are many ways to win.
"People think creating a company is going to be fun."
Elon Musk knows:
Entrepreneurship is not for the faint of heart.
The key to being a great founder?
Embrace this:
3. Falling for perks
Snacks in the office cost the company nothing. Dry cleaning costs the company nothing.
Flying you to Denver and getting you a hotel room costs the company nothing.
In your head, you're likely pricing these perks as worth $40k. Don't fall for that.
"Everyone thinks you can hire someone to do this."
"That fails 100% of the time."
The secret to building a successful startup, according to Sam Altman?
Doing this every day:
In 1993, he was just another middle manager doing Excel demos.
Today, he's Google's biggest threat.
"I want people to know that we made them dance."
Get out of Satya Nadella's way.
He's just getting started:
Sam Altman was surprised!
The successful companies in his portfolio?
They all followed the same strategy.
Don't bite off more than you can chew.
Narrow your focus.
Start small.
Win big.
When Elon Musk started Zip2, he could only afford one computer.
The website ran during the day.
He coded all night.
Despite that, in 1999 Elon sold Zip2 for $307mm.
He made $22 million.
Jeff Bezos calls this "the best advice he can give."
And it's topical.
"Whenever you try to catch a wave, you're almost always too late."
Never paddle after a wave.
Instead, put yourself in position.
Wait.
And let the wave catch you.
I avoided these traps at big companies. Smaller ones face them too.
Follow me
@arvanaghi
as I share the story of going from a big company, to a smaller one, to a tiny one, to starting
@JoinMeow
.
"I'm really looking for one thing!”
Jeff Bezos buys companies big and small.
How does he know which ones will succeed?
The founders share this quality:
Apple is the greatest cult in the world.
And every cult needs a place to meet.
Welcome to the Apple Store.
Here's how Steve Jobs built the most profitable retail stores of all time👇
ANNOUNCEMENT:
@Meow
is profitable! 🙌
And our plan is to never raise from VCs again.
WHY IS THIS SO IMPORTANT?
Meow is a low-margin company. We believe financial services are a commodity.
Hitting profitability as a low-margin company means our business model is sustainable.
Here's a sandbox detection library I wrote in every language (PowerShell, Python, Go, Ruby, C#)....
Checks include:
• # of USBs ever mounted
• Is sleep() accelerated?
• # of Windows Updates installed
• Wait for a certain # of clicks before running
The Sichuan miner shutdown is bullish for
#Bitcoin
.
• ASICs flow from China to Texas & Florida
• Skilled jobs surge in those states
• States double down on pro-Bitcoin stance
An ASIC in the U.S. is more difficult to shut down than one in China. Bitcoin is now more resilient.
BIG COMPANY
A big company is a multi-billion dollar company for a reason.
They do one thing better than everyone else.
Find what that thing is. Study it. Master it.
Now *you* carry that billion dollar competency with you.
At the big company, make sure you learn that thing.
"People think creating a company is going to be fun."
Elon Musk knows:
Entrepreneurship isn't for the faint of heart.
The key to being a great founder?
Embrace this:
In 2005, Steve Jobs reminded us of a sad truth:
"Remember you're going to die."
Afraid to fail?
Remember that.
Embarrassed?
Remember that.
So go swing big.
What are you waiting for?
When OpenAI was just 6 months old, Sam Altman asked Elon Musk:
"How do you think OpenAI is going?"
This was Musk's response, for what now looks to be the world's most innovative company:
Want success in your career?
Be a doer, not a talker.
Don't just dabble or organize.
Take risks and commit to your convictions.
"History belongs to the doers." — Sam Altman
"You don't want diversity of vision!"
The main reason companies get intro trouble...
Sam Altman predicted it:
Different visions within from executives at a company can make it implode. OpenAI, which recently sought an $86b valuation, is no exception.
The solution, according
As of today,
@LAYER1OFFICIAL
is officially an operating virtual power plant in Texas.
ERCOT, which manages 90% of Texas' load, has recognized us as the first Controllable Load Resource in the market.
#Bitcoin
batteries are balancing electric grids in Texas.
When I graduated college, my plan was:
- Start at a big company (~5,000)
- Then work at a smaller one (~50)
- Then join as an early employee (~8)
- Then start my own
Here’s why and what I learned along the way:
Without Napster, Gnutella, & BitTorrent, record labels may have never agreed to 99¢ music on the iTunes Store.
Censorship-resistant protocols inspire change by applying pressure. Bitcoin is doing this to money.
What changes will we see?
In truth, there's a long road before you'll ever see a penny.
Your real opportunity is something different.
The first 10 hires at this company are rockstars. They're the best at what they do.
YOU LIKELY GET TO WORK DIRECTLY UNDER ONE!
Do right by them. Learn from them.
MEDIUM-SIZED COMPANY
A growing company with 50 people is onto something. It may be a rocketship. 🚀
Your equity is quite exciting. When they hit $1b, you’ll be a millionaire!
This motivates you daily. You’re even OK with less pay...
I'm excited to *FINALLY* share what I've been building at
@GeminiDotCom
!
Introducing the Gemini dollar, the world's first regulated stablecoin on
#Ethereum
. Writing these smart contracts was a blast, with lots of talented engineers making this possible!
We never shared this publicly:
In August, my co-founder, best friend, and CTO
@bryce_meow
suffered a violent concussion.
He couldn't read, have a conversation, or even look at a screen.
Bryce is objectively the most talented person at
@Meow
so this was a major blow.
It's been
Some early WhatsApp users started using statuses to make jokes with friends.
These statuses turn into fun messages.
He had accidentally created a messaging service.
At a tiny company, it’s all a bet on the founders.
When the boat's small, it's easy to steer. That's why even one bad decision from a small company founder can steer the boat off course.
Pick right, and it's the best thing in the world. Pick wrong, and you've wasted your time.
In 1984, Steve Jobs took a big risk.
He released Apple's Macintosh computer to compete with IBM.
Jobs pulled it out of his bag.
And the Mac spoke directly to IBM:
"NEVER TRUST A COMPUTER YOU CAN'T LIFT!"
One of the most genius marketing tactics ever:
Sam Altman saw what happened with the App Store.
Lightweight apps had meteoric rises.
But they fell.
The companies that endured?
They focused on customer satisfaction.
"AI companies" will be the same, says
@sama
.
🎉 ANNOUNCEMENT: MORTGAGES FOR FOUNDERS, NOW LIVE THROUGH MEOW!*
*Mortgage services are provided by BNY Mellon, N.A., through a partnership with Atomic Invest LLC and are subject to credit approval. Meow is not a mortgage lender, broker, or financial institution.
Founders told
"Every important thing we've done has been misunderstood."
Jeff Bezos created controversy with every decision.
Even launching customer reviews on Amazon.
Planning to innovate?
Prepare for this:
TINY COMPANY (~10)
This is the danger zone. It's the hardest one to nail.
You're an early employee. The vision is grand.
If what the founders say is true, you will be worth tens to hundreds of millions.
But there's zero data points suggesting the company is competent.
In June 2009, Apple unveils push notifications for iPhone apps.
Koum adds 1 feature to WhatsApp:
Every time a friend changes their status, you get a notification.
Layer1 is the first vertically-integrated Bitcoin mining company in the U.S.
The U.S. part is no accident. We’re using the abundance of cheap power here to our advantage.
Long-term, increasing the U.S. hash rate is a matter of national security. We’re leading that push. 🇺🇸
At a tiny company, you may get to level up a title. You may learn how to manage a small team.
You'll *definitely* learn how important the first 10 people are to determining a company’s success
Bring that mindset with you when you start a company
I fear no big company. I've worked at them.
They're slow, clunky, and inefficient. Our ambitions require speed and compounded focus.
I fear a leaner, hungrier startup.
Meow has been ~6 people for most of its 1 yr existence. We're now 11.
I'll be damned if anyone outworks us.
In 2003, Apple released the iPod silhouette ad.
Steve Jobs hated it.
Apple ads were white pages, a product, and a tagline.
"It's not Apple," he said.
But he gave in.
And now, it's considered one of the greatest ad campaigns in history.
And a key reason iPod and iTunes won:
It was growing faster than early Facebook.
Over the next 2 years, Zuck wines and dines Jan Koum while the business grows.
In 2013, WhatsApp is adding 1 million new users…
PER DAY.
So he meets with a friend to brainstorm app ideas.
Koum wants to put statuses next to friends’ names in your address book.
So he goes to RentACoder to hire a guy to build the 1st version.
They call it WhatsApp.
FOUNDING A COMPANY
You've ideally been in the same industry, or similar ones, this whole time
You have an aerial view of that industry
You have a network of people who have worked with you
You know directionally what to build