The US 101 Effect

United States Highway 101 runs north and south along the Pacific coast all the way from California to Washington. In Northern California, “US 101” is the vein that runs through the technology world’s famed Silicon Valley directing people between San Jose and San Francisco and beyond.

By driving up and down, north and south, every day, you get a sense of what’s happening in the area. I recently spent a couple weeks there, working and exploring, away from my life in Belgium, trying to grasp a sense of what makes Silicon Valley, well, Silicon Valley. What is its essence? Why do new technologies pop up so quickly? And, how do they get very rapidly adopted and receive good Public Relations coverage?

During my time in the US, as a Digital Nomad, I traveled with my family while juggling my business life, dealing with the Venture Capitalist (VC) community, networking with entrepreneurs and handling press calls. Unlike some of my American friends, I felt fortunate to do the daily commute along the US 101. It gave me time to think and it somehow sparked the notion of “The US 101 Effect.”

The US 101 Effect…

The first couple of days of my Bay Area stay, I was clearly too caught up in my old European paradigm, perhaps too jetlagged also, to get the picture. The very first day, for instance – driving south from San Francisco airport – I noticed this giant billboard next to the freeway.  There was our competitor, box.net, waging war against Microsoft. I immediately thought “Why on earth spend good marketing money on a single billboard that probably no one notices, and challenging Microsoft, for Pete’s sake? Good luck!”

A couple of days later, driving back from downtown “Fog City” on the US 101, I witnessed a similar billboard. This time it was more like the clash of the titans:  Google versus Microsoft. I was puzzled! But as early as the next day it dawned on me when suddenly both billboards got covered on the TV news and gained wide-reaching bloggers’ attention:  one billboard, on a 50 mile highway stretch, that’s all Box and Google needed to get the world’s attention?!  I suddenly became very intrigued.

There is indeed something very exceptional about this US 101 – “US Tech’s El Camino Real.” It exhibits some sort of “economy of focus,” because so many people who use it are involved in the high tech industry in one way or another. It doesn’t matter who you are, in PR, a venture capitalist, or just a user of technology, everyone lives within and gets life from that ecosystem, especially in the geographic area that spreads from San José to San Francisco.

While on an average highway 99% of the people couldn’t care less, the US 101 is the life vein of a distinct and vibrant community. The commuters listen, they pay attention and contribute to the conversation; it appears they are genuinely interested. That is why a zeppelin can fly above the US 101 (and CA highway 85, one of its side-rivers) highlighting an at-home genetics test and its web site www.23andme.com.  Every day indeed (at least in August), an enormous blimp gets airborne from Moffett Field and flies over the road infrastructure of Silicon Valley, because the 23andme executives know that 99% of the US 101 commuters give a damn. They genuinely want to know what is the next best thing to buy, to invest in, to work for, to sell, to cover, etc.

“Oh Dierbaar België…” – “Oh Dearest Belgium…”

In contrast, my home country of Belgium really lacks the entrepreneurial spirit found in California. And, that’s not just my opinion. The Global Entrepreneurship Monitor, a program that assesses national levels of entrepreneurial activity, conducts extensive research throughout Europe and has found that Belgium has the lowest level of high-growth expectation entrepreneurial activity in Europe.

“In the United States there is more early-stage entrepreneurial activity than in EU countries and Japan…  Some European countries – most notably Belgium, Germany and France – consistently have the lowest rates of entrepreneurial activity levels. This possibly reflects the relative risk aversion of European inhabitants and their declared relative preference for employment over self-employment…”
Global Entrepreneurship Monitor
2008 Executive Report

As much as I regret it, I believe that this has a lot to do with the overriding sentiment in our country that success is unaccepted and failure anticipated, while in the US, the spirit feels like success is anticipated, failure accepted – with the chance to move forward and try again. This is also known as the “tall poppy syndrome.” We truly need to change this mindset if we ever want to play ball.

Those who live and breathe technology can only be envious of the Silicon Valley ecosystem that seems to have it all, in but a 50-mile radius. Simply have a look at any Silicon Valley VC’s portfolio. They really don’t need to venture far afield. There is so much fuel and wind in the Valley, enough to start California wildfires of new businesses, innovative technology and products.

Even in the depths of the recession, there is a positive spirit in the US to move forward, an initiative that says: “We can’t rely on government. We must push through the economy ourselves.”  In the US, you feel a sense that “The glass is half full.” Most Belgians see this as naïve, but it treats the Americans well. They elected a President on the theme of “Yes, we can!” instead of “I don’t know, should we!?” a more Belgian sentiment.

Maybe it’s genetics after all

The genetic makeup of the US society is the immigrants, the people who fought their way to a new life in a new place. It’s especially the case in Silicon Valley. The population surrounding the US 101 is not made up of your average American; they come from all over the world. If we used the genetic testing of 23andme.com, we would surely find the entrepreneurship gene in their genetic wiring. They are already adventurous, risk seeking, reward-seeking, so they tolerate that atmosphere and embrace it. The area surrounding the US 101 invites that attitude.

It took me a while to grasp the concept of the success of those billboards here, but I talked to people and saw how it affected them. Nobody would care in Europe. But in Silicon Valley, people talk about it. It’s a close community. It’s amazing how many people know each other, even though a lot of mileage is covered. In fact, people probably know who the guy is flying the zeppelin with the web site blazoned across the bottom, past the billboards of the warring software companies.

Maybe it’s time to stoke some business fires here in Belgium with a billboard of my own. I am hoping the wind shifts soon.