How will the credit crisis affect Silicon Valley?

It’s probably just a matter of time before the credit crisis hits Silicon Valley, as this article in the New York Times notes. The larger unknown is the potential impact on startups, venture capital and revenue as well as innovation. The dynamics of the current market may force players in the valley to adopt desperate measures in order to survive a potential shakeout on par with the dotcom crash. However, a lot of people may not be ready. In particular, I like this quote from Jonathan Abrams, founder of Friendster and Socializr:

“The economy is tanking and people are arguing about whether they should go to Demo or TechCrunch. Few companies sound like they are breaking new ground. It’s like, ‘Here is Twitter for dogs.’ And people still think they are going to get rich by being a blogger.”

“It seems to me like the industry is still in denial,” he said.

Lessons from Buffett on business (and life)

It takes a lot for me to finish a book these days… or even start one sometimes. But I’ve been looking forward to the release of The Snowball: Warren Buffett and the Business of Life which just came out. Of the Berkshire Hathaway duo, I’ve previously enjoyed Charlie Munger’s biography and I’m a fan of the company’s story. Certainly there are many books out on Buffett, but this one appeals to me because it combines a lot of his reflections on business and life. I know what I’ll be doing this evening… but if I don’t make it there, let me know how it ends.