Entrepreneurial

Why governments don’t get startups

– Steve Blank is a serial entrepreneur. He teaches at Stanford University, U.C. Berkeley’s Haas Business School and at Columbia. He is the author of “The Four Steps to the Epiphany” and “Not All Those Who Wander Are Lost”. This article originally appeared here. The views expressed are his own. –

Not understanding and agreeing what “Entrepreneur” and “Startup” mean can sink an entire country’s entrepreneurial ecosystem.

I’m getting ready to go overseas to teach, and I’ve spent the last week reviewing several countries’ ambitious attempts to kick-start entrepreneurship. After poring through stacks of reports, white papers and position papers, I’ve come to a couple of conclusions.

1) They sure killed a ton of trees

2) With one noticeable exception, governmental entrepreneurship policies and initiatives appear to be less than optimal, with capital deployed inefficiently (read “They would have done better throwing the money in the street.”) Why? Because they haven’t defined the basics:

What’s a startup? Who’s an entrepreneur? How do the ecosystems differ for each one? What’s the role of public versus private funding?

The coming brick wall in venture capital

– Mark Suster is a former serial entrepreneur and a partner at Los Angeles-based venture capital firm GRP Partners. This article originally appeared on Suster’s blog “Both Sides of the Table”. The views expressed are his own. –

This is the final part of a three-part series on the major changes in the structure of the software and the venture capital industries. Read Part One and Part Two.

Or the Cliff Note’s version:

    Open source and cloud computing (led by Amazon) drove down tech startup costs by 90 percent The result was a massive increase in startups and a whole group of new funding sources: both angels and “micro VCs” With more competition in early-stage many VCs are investing smaller amounts at earlier stages. Some are going later stage to not miss out on hot deals. I call this “stage drift.” The opportunities for tech startups today are more immense than they’ve ever been with billions of people now connected to the Internet nearly all the time.

But …

Mobile app helps diagnose Parkinson’s

Can smartphones help diagnose disease? Yes, according to Konrad Körding, one of the developers of an Android app being used to track the movement of Parkinson’s patients.

The app uses the phone’s sensory capabilities to evaluate a user’s patterns of movement, such as if walking is unstable or if a fall occurs.

“Most patients already carry a phone with them,” said Körding, a researcher who holds academic posts at both Northwestern University’s Feinberg School of Medicine and the Rehabilitation Institute of Chicago. “It’s known that you can detect disease based on movement.”

Senate kills federal innovation research program

– Robin Enos is a contributor to FindLaw’s Free Enterprise blog. FindLaw is a Thomson Reuters publication. This article originally appeared here. –

The U.S. Senate voted this week to kill a bill to reauthorize the popular SBIR (Small Business Innovation Research) program, according to the New York Times.

SBIR, a program to encourage small businesses to explore commercialization of technology, reserves 2.5 percent of federal research and development (R&D) funds for small businesses. Thus, said the SBA, SBIR enables small businesses to compete for federal R&D funds with larger enterprises.

Innovation is how we make our living: Is China buying?

A wind turbine is seen near a gate of the ancient city of Wushu in Diaobingshan, Liaoning province January 18, 2011. REUTERS/Sheng Li

– Tom Lyon is the director of the Erb Institute for Global Sustainable Enterprise, and Peter Adriaens is a professor of entrepreneurship at the Zell Lurie Institute of Entrepreneurial Studies, both at the University of Michigan. The views expressed are their own. –

President Barack Obama, in his State of the Union speech, called for America to “out-innovate, out-educate, and out-build the rest of the world.” But who is the competition, exactly? Who is presenting “our generation’s Sputnik moment”? Who are we racing against to put a million electric vehicles on the road? The president’s answer: China.

Encouraging American innovation is a major piece of the president’s strategy to win the future. And a global leadership position in innovation is ours to lose.

Can VCs serve the medical device market?

– John Lonergan is the managing member of Mach Ventures. This article previously appeared on PE Hub. The views expressed are his own. –

Traditional venture capital firms are struggling to remain relevant to new company formation, the development of new technologies, and the capability of bringing new medical device technologies to market. Although my comments are specific to medical device venture investing, my friends in Silicon Valley will agree, if even only in a quiet moment of reflection, that the same applies in biotechnology and general technology investing.

There are four reasons the traditional venture capital model has failed with regard to backing medical device companies.

Baby boomer inventions that changed the world

Patrick J. Kiger is the co-author of two books, “Poplorica: A Popular History of the Fads, Mavericks, Inventions and Lore that Shaped Modern America” and “Oops: 20 Life Lessons From the Fiascoes That Shaped America“. This article originally appeared on Second Act. The views expressed are his own. –

Try this free-association exercise. When you hear the word inventor, what names pop into your head? Chances are, you’ll think of some long-dead genius from the 19th or early 20th century, such as Thomas Edison, creator of the phonograph, motion pictures and the first practical light bulb, or Alexander Graham Bell, inventor of the telephone.

Or maybe, if you’re a little more knowledgeable about the history of technology, you’ll summon up Nikola Tesla, inventor of the alternating current mode of power generation, whose brainchild flows through the outlet that lights your home and illuminates the computer screen upon which you are reading this. Or you might think of Guglielmo Marconi, the early 20th century tinkerer credited with inventing the wireless communication technology that led to everything from garage door openers to the smartphone clipped to your belt.

Entrepreneurship void felt in Jackson Hole

– Jeff Bussgang is a general partner at Flybridge Capital Partners and an Entrepreneur-in-Residence at Harvard Business School. He is the author of “Mastering the VC Game” and writes the blog “Seeing Both Sides”. The following is an abridged version of a blog that originally appeared on PE Hub. The views expressed are his own. –

I love Jackson Hole, Wyoming. It’s one of the most extraordinarily beautiful settings in the world. One cannot help being in a good mood when observing the breathtaking wildlife, open sky and the awe-inspiring Grand Tetons.

Thus, reading the reports from last weekend’s annual economist confab in Jackson Hole could not have been more depressing. If the practitioners of the dismal science sound this pessimistic amidst such an uplifting setting, what will their attitude be when they trade in their cowboy boots for green shades and return to their drab offices to stare at spreadsheets? A usually staid Allen Sinai sounded positively hyperbolic, yet apparently spoke for many at the conference, when he told the New York Times, “I’m more worried than I have ever been about the future of the U.S. economy. The challenge is unique: poor and diminishing growth, a sticky unemployment rate, sky-high deficits and a sovereign debt that makes us one of the most fiscally irresponsible countries in the world.”

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