Eric Schmidt of Google and Mike Moritz of Sequoia Capital discuss the ingredients of a successful start-up. Eric gives his view on how to find those companies:
It seems to me that one of the exercises to do, is try to figure out what is in fact growing quickly. Not what the press says is growing quickly, or the venture capitalists or the entrepreneurs or the CEOs. But try to figure out what’s happening very quickly. And in wireless, 802.11b is happening very quickly. Linux deployment is happening very quickly. Internet adoption, especially outside of the U.S., is happening very quickly. Various things involving imaging and digital photography are happening very quickly. Because those things grow so quickly, they tend to create interesting new spaces that you can exploit. It’s much easier to ride one of those waves than to create your own completely distinct one.