Silicon Valley Influencer Digest - December 2013
This digest will keep you up to date on what some of the most influencer angel investors and startup experts are curating. These people are at the forefront of the industry and curate a lot of content every day for anyone who is interested enough to hunt around for it, or for those who simply use LikeHack’s “Angel’s” filter.

We will go over some of the top sources and stories that these experts are using and curating this month.
Sources
Tech investors and producers stick pretty close together as they often curate content from the same sources. Cracked is definitely a front runner as the writing style is pretty entertaining and often self-depreciating and the subjects always have a funny and modern twist. Wired of course is also at the top. They have a lot of different categories and if you can’t find something interesting in at least one of them, then your spark of life has obviously left your soul. FastCompany and Business Insider are also used quite a bit in investor’s curation because they offer more serious and informative content that really speaks to professionals working in the field. Finally, newspapers such as The Atlantic and Wall Street Journal are great all around sites that have a little bit of everything.
Top Stories
Tim Draper (Founder of VC firm Draper Fisher Jurveston)- SixCalifornias
Tim Draper, the successful Venture Capital firm founder which included early investments in Skype and Hotmail, has submitted a plan to divide California into 6 states. Basically, California 2.0. He introduced this plan, which needs half a million signatures to be put on the ballot, because there are problems in California. These problems, he argues, stems from the varying differences between the south and the north and the wide range of industries. The people aren’t being represented well. The state of California has over 38 million residents, or 4 times the population of Sweden, and they are all represented by 2 senators and a handful of congressman.
He feels that each area has a very strong industry, such as the south’s entertainment and defense industries vs the tech industry in Silicon valley. The representatives and executives in Sacramento don’t understand these industries well, and so a government more in-tune with each regions specialty makes sense.

The laws in California are some of the nations most strict and taxes some of the highest, which is causing companies to flee, which would immensely hurt the economy. What’s interesting to me is that of the 6 states outlines most lean towards the Democratic party while others are easy to swing in that direction. Also, many counties that are split from each other are very similar, such as Marin county not being in the same state as San Francisco. His chances are slim, but I think change is a good thing and a more representative government just might help our area get back on the right track.
Marc Barros (Co-Founded Contour Cameras) - Hardware Startups
Marc Barros co-founded a company that pioneered hands free cameras and became a huge success. He recently wrote for Wired to show that hardware startups are much more than a fad, but have their own unique problems.
The cost of bringing hardware to the market is a lot cheaper now, and with programs like kickstarter, small projects can be huge overnight successes. However, we have heard lots of stories of projects missing their deadlines. This is because there are no beta versions of hardware, but there still needs to be MVP (minimum viable product) that works. This means that a product is quick to get off the floor and start making money. New startups get bogged down in features and realize they cant cope with building working features, distribution, licensing, documentation, logistics etc while still having top quality.
In order to succeed, new hardware startups need to focus on one very valuable function and get it right. This allows startups to quickly go to market with a product that will work as advertised.
The second problem for hardware startups is access to components. Many companies will only sell large orders that cost too much, or won’t sell at all to a small company. This is because many overseas companies make their own components and don’t want competition and know they control a huge market barrier.
Since most manufacturing sites are overseas, this produces another problem. These small startups, yet to have any sales, have to go international and compete with large companies to get cheap labor. The labor companies don’t want automated manufacturing because it will make them obsolete.
Finally think about some of the most successful companies in the world. They are lifestyle brands. Often times it is very hard to see what they are selling from their advertisements. The increased popularity of hardware startups needs to recognize this because competition is getting more fierce and marketing can be everything.
Michael Arrington (Techcrunch Founder)- Sriracha
Now for a subject near and dear to any hipster’s heart. Sriracha. The company is being threatened by California regulators. A 30 day hold was ordered after 30 years of operation and no recalls that have ever been ordered.
The regulators, aka one of the government’s top 5 most hated money wasters, said that Huy Fong Foods doesn’t cook Sriracha and so dangerous bacteria may inhabit their bottles. I guess 30 years of no recalls and no instances of pathogenic bacteria isn’t enough proof.
Don’t get me wrong, I understand the need for food safety and to be diligent about it, but the FDA crossed the line a long time ago and this is just another instance. The process for regulating and rendering acidified foods safe is apparently a trade secret as Anita Gore, a California health department official, said she cannot go into details.
The founder, David Tran, named his company after the plane he boarded to flee communist Vietnam. He came to California and created a multi-million dollar business. However, with California’s draconian laws, he is now looking to leave California and invest in another state, taking tax revenues with him. Stories like this are sadly sounding more familiar every year.
Importance
Angel investors and influencers really have a wide range of interests but know a helpful article when they see one. This is why understanding the content the curate is so important. We can find out individual investor’s interests, how they are thinking, and to know what articles really are worth your time. Keep checking out their activity on LikeHack and searching through those popular websites like Cracked and Wired to keep on top of the daily onslaught of information.

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