Monthly Archives: April 2013

Economies Of Scale As A Service

TechCrunch

Credit where it’s definitely due: this post was inspired by a Twitter conversation with Box CEO Aaron Levie.

Don’t look now, but something remarkable is happening.

Instagram had twelve employees when it was purchased for $700 million; all of its actual computing power was outsourced to Amazon Web Services. Mighty ARM has only 2300 employees, but there are more than 35 billion ARM-based chips out there. They do no manufacturing; instead they license their designs to companies like Apple, who in turn contract with companies like TSMC for the actual fabrication. Nest Labs and Ubiquiti are both 200-employee hardware companies worth circa $1 billion…who subcontract their actual manufacturing out to China.

Warren Buffett has long advocated investing in businesses with “moats” around their business model. Often that moat is an economy of scale; the notion that a hundred widgets cost a dollar each but a…

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Youngstown SOUP

(This idea is not original in any way, but the best ideas are borrowed and built upon anyway)

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Its called Detroit SOUP. I first heard about this idea from friends from Detroit. There is a monthly get together where people pay $5 for a bowl of soup, bread, salad, and a vote. The vote is for the best creative community project pitched that night. The project that receives the most votes gets the profits from the event for seed money.

http://detroitsoup.com/

Big Time Benefits of SOUP Event

1. Community. The event brings people from all walks of life together around a common cause.

2. Culture. SOUP promotes a culture of community activism, creativity, and entrepreneurship.

3. Local Investment. A simple $5 meal could help start projects in our own backyards. It starts a dialogue of local economy.

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Who wants to work on Youngstown SOUP beginning Summer 2013?

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