Sergey Brin: Don't Come To Silicon Valley To Start a Business (businessinsider.com)

An anonymous reader shares a Business Insider report:If you're itching to start a company out of a garage, then you shouldn't pick up and move to Silicon Valley, according to Google cofounder Sergey Brin. It's easier to start a company outside the Valley than in it, he said onstage at the Global Entrepreneurship Summit. "I know that sort of contradicts what everyone here has been saying," he said with a laugh. "During the boom cycles, the expectations around the costs -- real estate, salaries -- the expectations people and employees have ... it can be hard to make a scrappy initial business that's self-sustaining," he said. "Whereas in other parts of the world you might have an easier time for that."But he adds that Silicon Valley is good for scaling that opportunity.

Comments

Translation

[Bovius]

"Do the riskiest part of starting a business somewhere else. Then, when it reaches maximum future potential, bring it to Silicon Valley so we can buy it out from under you for a song and make a ton of money."

location, location, location

[Thud457]

payroll's a bitch when your employees have to be millionaires to afford their very own hovel.

Other places are better

[DidgetMaster]

There are many places around the country (or the world) that have good talent and moderate to cheap living expenses. Those are the best places to get a tech business off the ground. You will probably have more trouble finding funding for your idea, but startup costs are much lower than in Silicon Valley. I am trying to start up my own business and it is a lot of trouble to find investors. It can be depressing to read about guys with great connections in SV who get $20 million in funding for some idea with a potential of about 10% of what you think your idea will do; yet you can't seem to get even seed funding of much smaller amounts. It drives you insane when someone gets $100 million in funding for a really bad idea that you know will crash and burn in just a year or two.

Re:But the Web 2.0 bubble has already burst.

[DiSKiLLeR]

Erm, no.

It is reality sinking in but it is not a bubble bursting.

The dot com bubble of 2000 was a bubble bursting.

The housing crash of 2007 was a bubble bursting.

But prices of companies, real estate, and so on regularly go up and down and sometimes go down sharply (eg. LinkedIn) when 'reality kicks in' but that that not automatically mean a bubble has burst.

They're too different events - one is of a smaller scale the other is of a much LARGER scale that results in a large economy wide event that impacts everyone.