Silicon Valley isn’t Autistic, It’s Just Full of Assholes

[Silicon Valley] is a hard place to write about. It’s a lack of emotional content. It’s a cold place. I mean, it’s basically a bunch of autistic people walking around.
–Michael Lewis

I wasn’t aware that Silicon Valley had become some sort of leper colony for autism patients. I guess I haven’t been paying attention.

It is also possible that Mr. Lewis misdiagnosed the respective symptoms of autism and asshole. They can be hard to distinguish.

More concerning is that this is how the outside world actually sees Silicon Valley. This, coming from the author of Moneyball, Liar’s Poker, The Big Short, and Flash Boys. The writer who created sympathetic characters out of Wall Street and pro baseball says it’s difficult to write about Silicon Valley because Silicon Valley has no soul.

Why? Because we celebrate people like this:

And this heartwarming response to Chamath Palihapitiya‘s assertion that venture capital is full of Bros Funding Bros:

[ Previously, Marc Andreessen tweeted that his a16z team had x% females, y% African-American/Latino, and z% female African-American/Latino. Kevin Roose replied with “Now do the GPs!”. Andreessen has since deleted his tweet. ]

Marc did not respond Roose’s request. It’s no secret that A16Z has eight General Partners*. 0% female, 0% African-American/Latino, 0% female African-American/Latino.

Some might think it a bit tactless to boast about their firm’s inclusion of minority women when 100% of the minority women are recruiters, marketers, or admin-assistants.

Here are some pie charts!
Here are some pie charts!

Investment banking also has a culture of “Bros Funding Bros”, but at least they have the social grace to own up to it. Is Silicon Valley in denial, autistic, or run by even bigger assholes than Wall Street?

I don’t think Marc Andreessen is autistic; nor do I believe he’s an asshole. Andreessen has simply been hero-worshiped for so long that he has lost touch with reality.

Retired angel investor Tucker Max observed: “Perhaps the biggest thrill in angel investing is that people flatter you and beg you for your resources, and this makes you feel powerful and respected.”

While Wall Street investors spend their days kissing client ass, Sand Hill investors have their asses kissed by legions of startup founders.

Not only does Silicon Valley extol those who were born on third and scored on a wild pitch, we stroke their egos until they’re convinced that they scored a triple and stole home.

The more we glorify venture capitalists, the more influence their opinion has on early-stage companies’ success. As a result, Silicon Valley ends up with a public image shaped by a few entitled elite.

No, Michael Lewis, not everybody in Palo Alto is rich. What more, Marc Andreessen is not the voice of Silicon Valley. Neither are Dave McClure or Jack Dorsey.

If I’ve learned one thing from reading your books, it’s that you appreciate an underdog. So try listening to the underdogs for a change. The guys who failed to get jobs at Facebook. The tech companies that grew without venture capital. The people who give voice to those that have none.

Listen to those who aren’t celebrated only for their bankroll. Then see if you still think Silicon Valley has no soul.

brian acton-fb-job

*The A16Z GPs I counted were Ken Rampell, Marc Andreessen, Ben Horowitz, Chris Dixon, John O’Farrell, Lars Dalgaard, Peter Levine, and Scott Weiss.

How High-Frequency Trading Makes the World a Better Place (part 1)

flash-boys-not-so-fast

A high-frequency trader gave me this book on high-frequency trading many months ago, and I promised I would review it. It has taken me a long time to get to this because reading the book was like chewing through cardboard.

Not So Fast is a line-by-line takedown of Michael Lewis’s Flash Boys, from the perspective of a high-frequency trader.

In summary:
The stock market isn’t rigged. Michael Lewis and Brad Katsuyama mistook the price impact of large orders for front-running. Thirty-eight miles of fiber-optic cable in a shoebox could have been implemented in a line of code. The End.

There’s a reason why Flash Boys resulted in a class-action lawsuit against exchanges and Not So Fast didn’t result in a class-action lawsuit against Michael Lewis. Lewis is a NY Times bestselling storyteller, and Kovac is a guy who writes software.

See Also:
How High-Frequency Trading Makes the World a Better Place (part 2)