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    • A Lifelong Gamer's Insights into the History and Creation of Influential GamesSid Meier, a gaming pioneer, sees gaming as a deeply rooted human instinct and every game as a collection of intriguing decisions, requiring player input.

      Sid Meier, the creator of Civilization, views gaming as a deeply embedded human instinct that spans a vast history, from ancient times to the present day. He sees himself as a lifelong gamer, having transitioned from childhood games like peekaboo and toy soldiers to board games and computer programs. Meier's memoir, "A Life in Computer Games," offers insights into his career and the creation of some of the most influential games in history, including Civilization, Pirates, and Railroad Tycoon. He emphasizes that every game, whether successful or not, is comprised of interesting decisions and that the player's input is essential to creating a game. Meier's memoir is a fascinating exploration of the tech history and creative process behind the world of gaming, offering readers a glimpse into the mind of a true gaming pioneer.

    • A Game Designer's Journey: Insights from Sid MeierSid Meier's memoir offers insights into game design, industry history, and the psychology of gamers. His optimistic perspective, rooted in gratitude, and philosophy that a game is a series of interesting decisions make for valuable lessons.

      Inspiring story of Sid Meier, the godfather of computing gaming, and his memoir that shares insights from his 40-year career in the video game industry. Meier, who started as a systems analyst in 1982, designed games for fun before realizing he could make a living from it. He did not come from a background of desperation to unleash his creativity but rather a state of "ignorant bliss." Meier's optimistic perspective on life, rooted in gratitude, is a valuable lesson. His memoir provides insights into game design, industry history, and the psychology of gamers. Meier's philosophy that a game is a series of interesting decisions and the lessons learned from games that can be applied to life and company building make for fascinating reading. The book's fun and engaging style, with game designer elements, makes for an enjoyable read. Overall, Meier's story serves as a reminder of the importance of gratitude, optimism, and the potential for passion to turn into a fulfilling career.

    • Unexpected encounter in Las Vegas leads to game design partnershipSerendipitous moments can lead to significant opportunities. Recognize their value and learn from each experience.

      Sometimes the most significant moments in our lives don't feel earth-shattering at the time. Sid Meier, the renowned game designer, shares his story of serendipitously meeting his future business partner Bill in Las Vegas in 1982. They bonded over their shared interest in gaming and Sid's programming skills. Bill, an extroverted salesman, saw the potential in Sid's creations and proposed they start a business together. Sid, an introverted computer enthusiast, agreed. Their partnership, built on Sid's programming abilities and Bill's salesmanship, led to the creation of many successful games. However, Sid reflects that at the time, it seemed like just a fun project, not a life-altering decision. This anecdote highlights the importance of recognizing that the most impactful moments in our lives often go unnoticed initially. Additionally, Sid's career progression demonstrates the value of learning from each experience and applying those lessons to future projects.

    • Embracing opportunities and seeking feedback for growthOpening oneself to new experiences and constructive criticism can lead to significant success and the creation of exceptional products

      Being open to opportunities and continuously learning can lead to great success, even if it doesn't feel life-changing at the moment. Sid Meier, a renowned game developer, threw himself into every opportunity and aimed for the best instead of settling for good. He believed in the power of hard work and the importance of feedback to improve. Meier's partnership with Bill Stealey was crucial to his success, as they shared a passion for creating insanely great products. Stealey's critical feedback helped Meier refine his games and reach new heights. This partnership was built on mutual respect and a commitment to quality, which ultimately led to the creation of iconic games like Civilization and Pirates! The lesson here is that embracing challenges, seeking honest feedback, and constantly striving for improvement can lead to remarkable achievements.

    • Unconventional distribution methods in video game industryInnovative distribution strategies like ziplock bags and shareware models have helped successful entrepreneurs in the video game industry turn their creative works into profitable businesses.

      Successful entrepreneurs, like Sid Meier and the founders of id Software, have used unconventional methods to distribute and sell their creative works, even going back to the early days of video games. Sid Meier's story of selling his game in ziplock bags is reminiscent of the ziplock distribution method pioneered by Ken and Roberta Williams, which turned their homemade games into a multimillion-dollar company. Similarly, id Software's founders, John Carmack and John Romero, used the shareware model to distribute their groundbreaking game, Doom, which brought in significant revenue despite being released for free. These stories demonstrate the importance of innovation and adaptability in entrepreneurship and creativity. Additionally, the book "Masters of Doom" is a must-read for anyone interested in entrepreneurship or creativity, as it provides numerous insights and ideas that can be applied to various industries.

    • From selling games out of a car trunk to forming a successful software companyEntrepreneurship, perseverance, and positive feedback can lead to significant business success even with limited resources

      Even a small-scale entrepreneur with a limited budget and resources, like Bill Budge, the creator of computer games in the 1980s, can achieve significant success through determination, creativity, and effective marketing. Budge started by selling his games out of the trunk of his car and making sales calls to computer stores based on positive reviews. His persistence and belief in his product led to increasing demand and sales, which in turn fueled his confidence and drive to create more games. This cycle of success reinforced his entrepreneurial spirit and eventually led to the formation of MicroProse Software, a successful gaming company. The story highlights the importance of entrepreneurship, perseverance, and the power of positive feedback in the early stages of a business venture.

    • The power of games to evoke emotions and create deep connectionsGames have the ability to evoke strong emotions and build deep connections with players, making game design a rewarding career to create emotionally engaging experiences.

      Games have the power to evoke strong emotions and create deep connections with players, as evidenced by the author's mother's reaction to a simple game. This realization led the author to consider a career in game design as a way to create emotionally engaging experiences for others. The history of entertainment, from silent movies to sound films, demonstrates the importance of emotional connection in capturing and maintaining an audience. The potential for emotional interaction through the medium of games is both fascinating and enticing, and the author's determination to continue creating games, despite the challenges, highlights the enduring appeal of this field.

    • Leveraging strengths and weaknesses for business successIdentifying weaknesses and finding complementary partners can lead to business success. Persistence, identifying opportunities for growth, and taking calculated risks are also crucial.

      Identifying weaknesses and finding complementary partners can lead to success. The speaker in this discussion acknowledges his weaknesses in sales and self-promotion, and instead, teams up with a master salesman to build a company. This collaboration allows them to leverage each other's strengths and build a successful business. Additionally, having initial success can be a powerful motivator and belief booster, leading individuals to pursue their dreams with greater determination. The story also highlights the importance of identifying opportunities for growth in the market and taking calculated risks to accelerate sales. The speakers in this discussion emphasize the importance of being persistent, identifying strengths and weaknesses, and finding the right partners to build a successful business.

    • Understanding the value of ownershipMaintaining ownership is crucial for long-term success, even if it means turning down lucrative offers.

      Maintaining ownership and not capping the upside is crucial for success, even if it means turning down lucrative offers. Sid Meier and Bill Stealey of MicroProse learned this lesson at the Consumer Electronics Show in 1984 when they were approached by distributors who wanted to buy the rights to their game outright. While a large injection of cash would have helped keep their struggling company afloat, Sid and Bill understood the long-term value of owning their intellectual property. Akio Morita, founder of Sony, faced a similar decision in the early days of his company. He was offered a deal to be a house brand for a large department store, but Morita refused, believing that maintaining ownership was essential to building a successful and reputable company. By holding onto their ownership, both Sid Meier and Akio Morita were able to reap the benefits of their successes in the long run.

    • Staying true to your vision leads to long-term successFocusing on building your own brand and providing quality content can lead to long-term success despite short-term opportunities or challenges

      Having a clear vision and the determination to build your own brand, even when faced with lucrative offers or challenges, can lead to long-term success. Akio Morita and Ralph Lauren, both turned down opportunities that could have boosted their careers in the short term but instead focused on building their own brands. Sid Meier, the creator of MicroProse, also held on to his passion for making games and turned it into a successful business. Quality content and a deep love for the work were the driving forces behind their success. As Carmack from Masters of Doom put it, "I just want to make good games," and this mindset paid off in the long run. Similarly, Claude Hopkins, considered one of the greatest copywriters of all time, made millions by focusing on providing valuable information and starting with excellent service. These stories remind us that staying true to our vision and putting quality first can lead to significant rewards.

    • Connecting with customers through storytelling and authenticityReading about company founders' backgrounds fostered Sid Meier's connection to their businesses, leading to increased sales and loyalty. Sid Meier's approach to game development emphasizes collaboration and incremental improvements, which helped him create successful games before the internet.

      Creating a deep connection with customers through storytelling and authenticity can significantly impact sales and customer loyalty. Sid Meier, a successful game developer, shares how reading the biographies of company founders made him more likely to spend money at their businesses. This appreciation stemmed from a sense of connection to their philosophies and the hard work they put in. Meier's approach to game development mirrors this idea, as he focuses on making incremental improvements and collaborating with others to create innovative games. At the time, the gaming industry was not as widely accepted or understood as it is today, but Meier's determination and unique approach helped him create successful games that sold over 250,000 copies before the internet. An unexpected influence on Meier's naming convention for his games was Robin Williams, who attended a meeting where Meier discussed his game ideas. Williams, a known gaming enthusiast, encouraged Meier to use his name in the titles, leading to the iconic Sid Meier Games brand. Innovation, as Meier and Jony Ive both agree, often comes from a series of small ideas brought together in new and better ways, rather than a single groundbreaking concept.

    • Focus on creating value for customersSuccessful individuals prioritize customer needs, learn from setbacks, and persevere through hard work to achieve their goals.

      Successful individuals, whether they are in the entertainment industry, gaming industry, or any other field, should strive to put themselves in the shoes of their customers and focus on creating value for them. Sid Meier, a pioneer in the gaming industry, did just that by constantly asking himself if he would want to play the games he was designing. This customer-focused approach led to the creation of popular games like Sid Meier's Pirates. Another important lesson is that success is not a steady progression, and setbacks are a natural part of the journey. Instead of dwelling on failures, individuals should learn from them and continue to pursue new adventures. Lastly, the story of Tom Clancy, a successful author who had to continue working a day job despite the success of his books, serves as a reminder that financial success may not come overnight and that perseverance and hard work are essential.

    • Maintaining Control is Key to Business SuccessSuccessful entrepreneurs like Jay Z, Tom Clancy, and Sid Meier emphasize the importance of maintaining control in business to avoid exploitation and secure favorable deals.

      Maintaining control is essential to avoid being taken advantage of in business. Jay Z, a successful entrepreneur from humble beginnings, emphasizes the importance of this lesson, drawing from the music industry's history of exploiting artists. He encourages learning from the past and recognizing the risks of signing unfavorable deals. Tom Clancy, a successful author, also experienced this issue, but his continued success allowed him to eventually negotiate better deals. Sid Meier, the game developer, similarly held onto control and captured the upside, making multiple games instead of selling just one. As Charlie Munger puts it, wise people avoid "rat poison" individuals in business. By maintaining control, individuals can protect themselves from potential shady deals and ultimately thrive.

    • Learning from the Experiences of OthersCreativity and inspiration can lead to success, but learning from others' mistakes and experiences is crucial for avoiding pitfalls and growing in the business world.

      Creativity and inspiration can lead to great success, but the business side of things can present challenges and potential pitfalls. Sid Meier, a renowned game designer, was inspired by the works of others and learned valuable lessons from their experiences. Tom Clancy, a successful author, shared his struggles with business deals and being taken advantage of, which served as a cautionary tale for Sid. Sid's game, Railroad Tycoon, was inspired by Will Wright's SimCity, and this idea of perpetual progress without destruction became a theme in Sid's later work, including Civilization. Ultimately, it's important to remember the "why" behind what we create - people use our products to feel good about themselves. Sid emphasized this philosophy throughout his career, encouraging creators to learn from the experiences of others and focus on building and making progress.

    • Understanding Player Engagement: Insights from Sid MeierGameplay is crucial, learn from mistakes, prioritize efficiency, maintain focus, avoid Hollywood envy.

      As game designers, it's essential to understand the core reason why players engage with our games and not compromise that experience. Sid Meier, a renowned game designer, shares his wisdom from creating "Civilization," acknowledging the challenges and benefits of taking on ambitious projects. He emphasizes the importance of focusing on gameplay, learning from past mistakes, and prioritizing efficiency. Meier's experience highlights the value of youthful determination and the potential drawbacks of experience and doubt. His insights, reminiscent of Steve Jobs' philosophy, encourage game designers to avoid "Hollywood envy" and maintain a clear focus on creating engaging and impactful gaming experiences.

    • Making bold decisions and learning from mistakesDon't let fear of mistakes hinder experimentation. Bold decisions and learning from failures can lead to successful products. A strong individual leader is crucial for making successful decisions.

      Making incremental changes may not always be the most efficient approach. Sid Meier, the creator of Civilization, shares his experience of making bold decisions and learning from mistakes. He talks about how he halved the game's map size right before its publication, which turned out to be a successful move. Meier encourages not to let the fear of mistakes hold you back and to be open to experimentation. He also emphasizes the importance of a strong, individual leader in making a successful product, as opposed to a committee decision. Meier's game, Civilization, started as a slow burn but gained popularity through word-of-mouth. Despite initial doubts and setbacks, Meier's determination and innovative approach led to the creation of a game that resonated with players and defied conventional wisdom.

    • Empowering fan creativityEmbracing fan creativity can lead to unexpected success and growth. Sid Meier's decision to allow Civilization mods fueled the game's longevity and fostered a thriving modding community. Working collaboratively with complementary talents can lead to more efficient and effective outcomes and a sense of celebration among team members.

      Embracing fan creativity and collaboration, rather than fearing it, can lead to unexpected success and growth. Sid Meier initially believed that allowing players to modify Civilization would lead to the end of the series, but instead, it fueled its longevity. Imagination enhances reality, and giving fans the freedom to create and build upon the foundation of a game can bring them closer to the universe and heighten their connection to it. Sid Meier's wisdom in handing over the construction materials to his fans led to a thriving modding community, which not only kept the Civilization series alive but also allowed it to evolve and adapt to the changing landscape of gaming. Additionally, Meier's preference for working independently but collaboratively on a project, focusing on his strengths and finding complementary talents in others, is a powerful lesson for any team or organization. By recognizing and respecting each other's unique expertise, individuals can combine their efforts to create something greater than the sum of their parts. This approach not only leads to more efficient and effective outcomes but also fosters a sense of celebration and collaboration among team members.

    • The Influence of Games on Game Design and LifeGame designer Sid Meier shares insights on the importance of embracing influences, focusing on fun, and being persistent in game design and creative pursuits. He also discusses the evolution of game pricing models and the success of Nexon's 'micro-transactions' approach.

      Game design and real life share many similarities, and being influenced by others is a natural part of the creative process. Sid Meier, a renowned game designer, spoke about the impact of games like 7 Cities of Gold on his work and how the concept of fun and power applies to both games and life. He emphasized the importance of being obsessive and continuously learning to fuel creativity. Moreover, Meier discussed the evolution of game pricing models, sharing the success story of Nexon and their "micro-transactions" approach. While gamers might have negative opinions on these transactions, the revenues tell a different story. Companies like Nexon used this model as a last resort, saving their servers from shutting down. In terms of starting a career in game design, Meier advised that the best way to prove an idea's worth is through action. Develop a playable version, then refine the art and test the game's fun factor. Perfection is not required; the goal is to inspire others to join the project. Overall, Meier's insights offer valuable lessons for game designers and anyone looking to pursue a creative endeavor. Embrace influences, focus on fun, and be persistent in your efforts.

    • From Subscription to Microtransactions: Increasing Revenue with Free-to-Play ModelsUsers' stated dislike for microtransactions doesn't always align with their actual behavior, as seen in Candy Crush's 16% revenue increase after implementing the model, despite 70% of users never paying.

      The shift from a subscription model to a free-to-play model with microtransactions can significantly increase revenue, even if users state they don't like the new model. This was exemplified by the game Candy Crush, which saw a 16% increase in corporate revenue within a year of implementing this change. Despite users stating they dislike microtransactions, 70% of Candy Crush users had never paid for the game, yet it still brought in several million dollars a day. The author emphasizes that stated preferences may not align with actual behavior. He also highlights that the concept of a free demo with optional purchases is not new, as coin-operated arcades used microtransactions long before their current popularity. Lastly, the author encourages taking risks, finding joy in unexpected places, and making interesting decisions in both game design and life. The book, "Reality Is Broken," and "Masters of Doom" are recommended for further reading. By supporting the podcast through purchasing the book using the provided link, you can help continue the podcast. This was just one of the 195 books discussed, with 1,000 more to explore.

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    Learning from history is a form of leverage. —Charlie Munger. Founders Notes gives you the super power to learn from history's greatest entrepreneurs on demand.

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    You can search all my notes and highlights from every book I've ever read for the podcast. 

    You can also ask SAGE any question and SAGE will read all my notes, highlights, and every transcript from every episode for you.

     A few questions I've asked SAGE recently: 

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    (1:00) You've got to start with the customer experience and work back toward the technology—not the other way around.  —Steve Jobs in 1997

    (6:00) Why should I care = What does this do for me?

    (6:00) The Match King: Ivar Kreuger, The Financial Genius Behind a Century of Wall Street Scandals by Frank Partnoy.  (Founders #348)

    (7:00) Easy to understand, easy to spread.

    (8:00) An American Saga: Juan Trippe and His Pan Am Empire by Robert Daley 

    (8:00) The Fish That Ate the Whale: The Life and Times of America's Banana King by Rich Cohen. (Founders #255)

    (9:00)  love how crystal clear this value proposition is. Instead of 3 days driving on dangerous road, it’s 1.5 hours by air. That’s a 48x improvement in time savings. This allows the company to work so much faster. The best B2B companies save businesses time.

    (10:00) Great Advertising Founders Episodes:

    Albert Lasker (Founders #206)

    Claude Hopkins (Founders #170 and #207)

    David Ogilvy (Founders #82, 89, 169, 189, 306, 343) 

    (12:00) Advertising which promises no benefit to the consumer does not sell, yet the majority of campaigns contain no promise whatever. (That is the most important sentence in this book. Read it again.) — Ogilvy on Advertising 

    (13:00) Repeat, repeat, repeat. Human nature has a flaw. We forget that we forget.

    (19:00) Start with the problem. Do not start talking about your product before you describe the problem your product solves.

    (23:00) The Invisible Billionaire: Daniel Ludwig by Jerry Shields. (Founders #292)

    (27:00) Being so well known has advantages of scale—what you might call an informational advantage.

    Psychologists use the term social proof. We are all influenced-subconsciously and, to some extent, consciously-by what we see others do and approve.

    Therefore, if everybody's buying something, we think it's better.

    We don't like to be the one guy who's out of step.

    The social proof phenomenon, which comes right out of psychology, gives huge advantages to scale.

    —  the NEW Poor Charlie's Almanack: The Wit and Wisdom of Charlie Munger (Founders #329)

    (29:00) Marketing is theatre.

    (32:00) Belief is irresistible. — Shoe Dog: A Memoir by the Creator of Nike by Phil Knight.  (Founders #186)

    (35:00) I think one of the things that really separates us from the high primates is that we’re tool builders. I read a study that measured the efficiency of locomotion for various species on the planet. The condor used the least energy to move a kilometer. And, humans came in with a rather unimpressive showing, about a third of the way down the list. It was not too proud a showing for the crown of creation. So, that didn’t look so good. But, then somebody at Scientific American had the insight to test the efficiency of locomotion for a man on a bicycle. And, a man on a bicycle, a human on a bicycle, blew the condor away, completely off the top of the charts.

    And that’s what a computer is to me. What a computer is to me is it’s the most remarkable tool that we’ve ever come up with, it’s the equivalent of a bicycle for our minds.

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    #349 How Steve Jobs Kept Things Simple

    #349 How Steve Jobs Kept Things Simple

    What I learned from reading Insanely Simple: The Obsession That Drives Apple's Success by Ken Segall. 

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    (1:30) Steve wanted Apple to make a product that was simply amazing and amazingly simple.

    (3:00) If you don’t zero in on your bureaucracy every so often, you will naturally build in layers. You never set out to add bureaucracy. You just get it. Period. Without even knowing it. So you always have to be looking to eliminate it.  — Sam Walton: Made In America by Sam Walton. (Founders #234)

    (5:00) Steve was always easy to understand. He would either approve a demo, or he would request to see something different next time. Whenever Steve reviewed a demo, he would say, often with highly detailed specificity, what he wanted to happen next.  — Creative Selection: Inside Apple's Design Process During the Golden Age of Steve Jobs by Ken Kocienda. (Founders #281)

    (7:00) Watch this video. Andy Miller tells GREAT Steve Jobs stories

    (10:00) Many are familiar with the re-emergence of Apple. They may not be as familiar with the fact that it has few, if any parallels.
    When did a founder ever return to the company from which he had been rudely rejected to engineer a turnaround as complete and spectacular as Apple's? While turnarounds are difficult in any circumstances they are doubly difficult in a technology company. It is not too much of a stretch to say that Steve founded Apple not once but twice. And the second time he was alone. 

    —  Return to the Little Kingdom: Steve Jobs and the Creation of Appleby Michael Moritz.

    (15:00) If the ultimate decision maker is involved every step of the way the quality of the work increases.

    (20:00) "You asked the question, What was your process like?' I kind of laugh because process is an organized way of doing things. I have to remind you, during the 'Walt Period' of designing Disneyland, we didn't have processes. We just did the work. Processes came later. All of these things had never been done before. Walt had gathered up all these people who had never designed a theme park, a Disneyland. So we're in the same boat at one time, and we figure out what to do and how to do it on the fly as we go along with it and not even discuss plans, timing, or anything. We just worked and Walt just walked around and had suggestions." — Disney's Land: Walt Disney and the Invention of the Amusement Park That Changed the World by Richard Snow. (Founders #347)

    (23:00) The further you get away from 1 the more complexity you invite in.

    (25:00) Your goal: A single idea expressed clearly.

    (26:00) Jony Ive: Steve was the most focused person I’ve met in my life

    (28:00) Editing your thinking is an act of service.

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    Michael Jordan In His Own Words

    Michael Jordan In His Own Words

    What I learned from reading Driven From Within by Michael Jordan and Mark Vancil. 

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    Episode Outline: 

    Players who practice hard when no one is paying attention play well when everyone is watching.

    It's hard, but it's fair. I live by those words. 

    To this day, I don't enjoy working. I enjoy playing, and figuring out how to connect playing with business. To me, that's my niche. People talk about my work ethic as a player, but they don't understand. What appeared to be hard work to others was simply playing for me.

    You have to be uncompromised in your level of commitment to whatever you are doing, or it can disappear as fast as it appeared. 

    Look around, just about any person or entity achieving at a high level has the same focus. The morning after Tiger Woods rallied to beat Phil Mickelson at the Ford Championship in 2005, he was in the gym by 6:30 to work out. No lights. No cameras. No glitz or glamour. Uncompromised. 

    I knew going against the grain was just part of the process.

    The mind will play tricks on you. The mind was telling you that you couldn't go any further. The mind was telling you how much it hurt. The mind was telling you these things to keep you from reaching your goal. But you have to see past that, turn it all off if you are going to get where you want to be.

    I would wake up in the morning thinking: How am I going to attack today?

    I’m not so dominant that I can’t listen to creative ideas coming from other people. Successful people listen. Those who don’t listen, don’t survive long.

    In all honesty, I don't know what's ahead. If you ask me what I'm going to do in five years, I can't tell you. This moment? Now that's a different story. I know what I'm doing moment to moment, but I have no idea what's ahead. I'm so connected to this moment that I don't make assumptions about what might come next, because I don't want to lose touch with the present. Once you make assumptions about something that might happen, or might not happen, you start limiting the potential outcomes. 

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    Founders
    en-usMay 12, 2024

    #348 The Financial Genius Behind A Century of Wall Street Scandals: Ivar Kreuger

    #348 The Financial Genius Behind A Century of Wall Street Scandals: Ivar Kreuger

    What I learned from reading The Match King: Ivar Kreuger, The Financial Genius Behind a Century of Wall Street Scandals by Frank Partnoy. 

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    Episode Outline: 

    1. Ivar was charismatic. His charisma was not natural. Ivar spent hours every day just preparing to talk. He practiced his lines for hours like great actors do.

    2. Ivar’s first pitch was simple, easy to understand, and legitimate: By investing in Swedish Match, Americans could earn profits from a monopoly abroad.

    3. Joseph Duveen noticed that Europe had plenty of art and America had plenty of money, and his entire astonishing career was the product of that simple observation. — The Days of Duveen by S.N. Behrman.  (Founders #339 Joseph Duveen: Robber Baron Art Dealer)

    4. Ivar studied Rockefeller and Carnegie: Ivar's plan was to limit competition and increase profits by securing a monopoly on match sales throughout the world, mimicking the nineteenth century oil, sugar, and steel trusts.

    5. When investors were manic, they would purchase just about anything. But during the panic that inevitably followed mania, the opposite was true. No one would buy.

    6. The problem isn’t getting rich. The problem is staying sane. — Charlie Munger

    7. Ivar understood human psychology. If something is limited and hard to get to that increases desire. This works for both products (like a Ferrari) and people (celebrities). Ivar was becoming a business celebrity.

    8.  I’ve never believed in risking what my family and friends have and need in order to pursue what they don't have and don't need. — The Essays of Warren Buffett by Warren Buffett and Lawrence Cunningham. (Founders #227)

    9. Great ideas are simple ideas: Ivar hooked Durant with his simple, brilliant idea: government loans in exchange for match monopolies.

    10. Ivar wrote to his parents, "I cannot believe that I am intended to spend my life making money for second-rate people. I shall bring American methods back home. Wait and see - I shall do great things. I'm bursting with ideas. I am only wondering which to carry out first."

    11. Ivar’s network of companies was far too complex for anyone to understand: It was like a corporate family tree from hell, and it extended into obscurity.

    12. “Victory in our industry is spelled survival.”   —Steve Jobs

    13. Ivar's financial statements were sloppy and incomplete. Yet investors nevertheless clamored to buy his securities.

    14. As more cash flowed in the questions went away. This is why Ponzi like schemes can last so long. People don’t want to believe. They don’t want the cash to stop.

    15. A Man for All Markets: From Las Vegas to Wall Street, How I Beat the Dealer and the Market by Ed Thorp. (Founders #222)

    16.  A summary of Charlie Munger on incentives:

    1. We all underestimate the power of incentives.
    2. Never, ever think about anything else before the power of incentives.
    3. The most important rule: get the incentives right.

    17. This is nuts! Fake phones and hired actors!

    Next to the desk was a table with three telephones. The middle phone was a dummy, a non-working phone that Ivar could cause to ring by stepping on a button under the desk. That button was a way to speed the exit of talkative visitors who were staying too long. Ivar also used the middle phone to impress his supporters. When Percy Rockefeller visited Ivar pretended to receive calls from various European government officials, including Mussolini and Stalin. That evening, Ivar threw a lavish party and introduced Rockefeller to numerous "ambassadors" from various countries, who actually were movie extras he had hired for the night.

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    #347 How Walt Disney Built His Greatest Creation: Disneyland

    #347 How Walt Disney Built His Greatest Creation: Disneyland

    What I learned from reading Disney's Land: Walt Disney and the Invention of the Amusement Park That Changed the World by Richard Snow. 

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    (8:00) When in 1955 we heard that Disney had opened an amusement park under his own name, it appeared certain that we could not look forward to anything new from Mr. Disney.

    We were quite wrong.

    He had, instead, created his masterpiece.

    (13:00) This may be the greatest product launch of all time: He had run eight months of his television program. He hadn't named his new show Walt Disney Presents or The Wonderful World of Walt Disney.

    It was called simply Disneyland, and every weekly episode was an advertisement for the still unborn park.

    (15:00) Disneyland is the extension of the powerful personality of one man.

    (15:00) The creation of Disneyland was Walt Disney’s personal taste in physical form.

    (24:00) How strange that the boss would just drop it. Walt doesn’t give up. So he must have something else in mind.

    (26:00) Their mediocrity is my opportunity. It is an opportunity because there is so much room for improvement.

    (36:00) Roy Disney never lost his calm understanding that the company's prosperity rested not on the rock of conventional business practices, but on the churning, extravagant, perfectionist imagination of his younger brother.

    (41:00) Walt Disney’s decision to not relinquish his TV rights to United Artists was made in 1936. This decision paid dividends 20 years later. Hold on. Technology -- developed by other people -- constantly benefited Disney's business. Many such cases in the history of entrepreneurship.

    (43:00) Walt Disney did not look around. He looked in. He looked in to his personal taste and built a business that was authentic to himself.

    (54:00) "You asked the question, What was your process like?' I kind of laugh because process is an organized way of doing things. I have to remind you, during the 'Walt Period' of designing Disneyland, we didn't have processes.

    We just did the work. Processes came later. All of these things had never been done before.

    Walt had gathered up all these people who had never designed a theme park, a Disneyland.

    So we're in the same boat at one time, and we figure out what to do and how to do it on the fly as we go along with it and not even discuss plans, timing, or anything.

    We just worked and Walt just walked around and had suggestions."

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    #346 How Walt Disney Built Himself

    #346 How Walt Disney Built Himself

    What I learned from rereading Walt Disney: The Triumph of the American Imagination by Neal Gabler. 

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    (2:00) Disney’s key traits were raw ingenuity combined with sadistic determination.

    (3:00) I had spent a lifetime with a frustrated, and often unemployed man, who hated anybody who was successful. 

    Francis Ford Coppola: A Filmmaker's Life by Michael Schumacher. (Founders #242)

    (6:00) Disney put excelence before any other consideration.

    (11:00) Maybe the most important thing anyone ever said to him: You’re crazy to be a professor she told Ted. What you really want to do is draw. Ted’s notebooks were always filled with these fabulous animals. So I set to work diverting him. Here was a man who could draw such pictures. He should earn a living doing that. 

    Becoming Dr. Seuss: Theodor Geisel and the Making of an American Imagination by Brian Jay Jones. (Founders #161)

    (14:00) A quote about Edwin Land that would apply to Walt Disney too:

    Land had learned early on that total engrossment was the best way for him to work. He strongly believed that this kind of concentrated focus could also produce extraordinary results for others. Late in his career, Land recalled that his “whole life has been spent trying to teach people that intense concentration for hour after hour can bring out in people resources they didn’t know they had.”  A Triumph of Genius: Edwin Land, Polaroid, and the Kodak Patent War by Ronald Fierstein. (Founders #134)

    (15:00) My parents objected strenuously, but I finally talked them into letting me join up as a Red Cross ambulance driver. I had to lie about my age, of course. 

    In my company was another fellow who had lied about his age to get in. He was regarded as a strange duck, because whenever we had time off and went out on the town to chase girls, he stayed in camp drawing pictures.

    His name was Walt Disney.

    Grinding It Out: The Making of McDonald's by Ray Kroc. (Founders #293)

    (20:00) Walt Disney had big dreams. He had outsized aspirations.

    (22:00) A quote from Edwin Land that would apply to Walt Disney too: My motto is very personal and may not fit anyone else or any other company. It is: Don't do anything that someone else can do.

    (24:00) Walt Disney seldom dabbled. Everyone who knew him remarked on his intensity; when something intrigued him, he focused himself entirely as if it were the only thing that mattered.

    (29:00) He had the drive and ambition of 10 million men.

    (29:00) I'm going to sit tight. I have the greatest opportunity I've ever had, and I'm in it for everything.

    (31:00) He seemed confident beyond any logical reason for him to be so. It appeared that nothing discouraged him.

    (31:00) You have to take the hard knocks with the good breaks in life.

    (32:00) Nothing wrong with my aim, just gotta change the target. — Jay Z

    (35:00) He sincerely wanted to be counted among the best in his craft.

    (43:00) He didn't want to just be another animation producer. He wanted to be the king of animation. Disney believed that quality was his only real advantage.

    (47:00) Walt Disney wanted domination. Domination that would make his position unassailable.

    (49:00) Disney was always trying to make something he could be proud of.

    (50:00) We have a habit of divine discontent with our performance. It is an antidote to smugness.

    Eternal Pursuit of Unhappiness: Being Very Good Is No Good,You Have to Be Very, Very, Very, Very, Very Good by David Ogilvy and Ogivly & Mather.  (Founders #343)

    (53:00) While it is easy, of course, for me to celebrate my doggedness now and say that it is all you need to succeed, the truth is that it demoralized me terribly. I would crawl into the house every night covered in dust after a long day, exhausted and depressed because that day's cyclone had not worked. There were times when I thought it would never work, that I would keep on making cyclone after cyclone, never going forwards, never going backwards, until I died.

    Against the Odds: An Autobiography by James Dyson (Founders #300)

    (56:00) He doesn't place a premium on collecting friends or socializing: "I don't believe in 50 friends. I believe in a smaller number. Nor do I care about society events. It's the most senseless use of time. When I do go out, from time to time, it's just to convince myself again that I'm not missing a lot."

    The Red Bull Story by Wolfgang Fürweger (Founders #333)

    (1:02:00) Steve was at the center of all the circles.

    He made all the important product decisions.

    From my standpoint, as an individual programmer, demoing to Steve was like visiting the Oracle of Delphi.

    The demo was my question. Steve's response was the answer.

    While the pronouncements from the Greek Oracle often came in the form of confusing riddles, that wasn't true with Steve.

    He was always easy to understand.

    He would either approve a demo, or he would request to see something different next time.

    Whenever Steve reviewed a demo, he would say, often with highly detailed specificity, what he wanted to happen next.

    He was always trying to ensure the products were as intuitive and straightforward as possible, and he was willing to invest his own time, effort, and influence to see that they were.

    Through looking at demos, asking for specific changes, then reviewing the changed work again later on and giving a final approval before we could ship, Steve could make a product turn out like he wanted.

    Much like the Greek Oracle, Steve foretold the future.

    Creative Selection: Inside Apple's Design Process During the Golden Age of Steve Jobs by Ken Kocienda. (Founders #281)

    (1:07:00) He griped that when he hired veteran animators he had to “put up with their Goddamn poor working habits from doing cheap pictures.” He believed it was easier to start from scratch with young art students and indoctrinate them in the Disney system.

    (1:15:00) I don’t want to be relagated to the cartoon medium. We have worlds to conquer here.

    (1:17:00) Advice Henry Ford gave Walt Disney about selling his company: If you sell any of it you should sell all of it.

    (1:23:00) He kept a slogan pasted inside of his hat: You can’t top pigs with pigs. (A reminder that we have to keep blazing new trails.)

    (1:25:00) Disney’s Land: Walt Disney and the Invention of the Amusement Park That Changed the World by Richard Snow.

    (1:33:00) It is the detail. If we lose the detail, we lose it all.

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    Related Episodes

    #235 Steve Jobs (The Pixar Story)

    #235 Steve Jobs (The Pixar Story)

    What I learned from reading To Pixar And Beyond: My Unlikely Journey with Steve Jobs to Make Entertainment History by Lawrence Levy.

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    [1:34] The Founders: The Story of Paypal and the Entrepreneurs Who Shaped Silicon Valley (Founders #233)

    [3:42] Creativity, Inc.: Overcoming the Unseen Forces That Stand in the Way of True Inspiration (Founders #34)

    [3:52] Readwise App

    [7:22] George Lucas: A Life (Founders #35)

    [7:48] Steve jobs had been a Silicon Valley's most visible celebrity but that made it all the more glaring that he had not had a hit in a long time —a very long time.

    [8:49] Steve Jobs and the NeXT Big Thing (Founders #77)

    [13:35] Why would I join a company that had been struggling for sixteen years and whose payroll was paid every month out of the personal checkbook of its owner? I had not realized how dire Pixar's financial situation was. It had no cash, no reserves, and it depended for its funds on the whim of a person whose reputation for volatility was legendary.

    [14:05] There is no a better advertisement than a demo.

    [15:57] Total Recall: My Unbelievably True Life Story (Founders #141)

    [16:03] There was nothing normal about me. My drive was not normal. My vision of where I wanted to go in life was not normal. The whole idea of a conventional existence was like Kryptonite to me. —Arnold

    [16:31] I looked at my start-up clients and to me they were on an adventure. I yearned for the kind of adventure they were on.

    [17:28] Mind Your Own Business: A Maverick's Guide to Business, Leadership and Life (Founders #229)

    [17:46] I regard myself as guardian of the company's soul.

    [19:06] Pixar has this amazing collection of talent doing work that no one has seen before. Now it's time to turn that into a business. —Steve Jobs

    [22:01] Steve had an almost permanent intensity about him, like he was always in top gear.

    [28:25] Pixar was embarked on a lonely courageous quest through terrain, into which neither it nor anyone else had ever ventured.

    [28:52] Becoming Steve Jobs: The Evolution of a Reckless Upstart into a Visionary Leader (Founders #19)

    [31:37] Home video was turning animated feature films into big business. Bigger than we had ever imagined.

    [32:24] There was no modern precedent for taking an independent animation company public.

    [36:54] Look at the value of the major Hollywood studios and you'll see their library of films is really significant.

    [39:27] There was no part of Steve that bought into the idea of making products that might not all have a shot at greatness.

    [41:22] Made in Japan: Akio Morita and Sony (Founders #102)

    [48:40] Steve once told me that the gestation of great products takes much longer than it appears. What seems to emerge from nowhere belies a long process of development, trials, and missteps.

    [53:46] The problem with success, even a little success, is that it changes you. You are no longer walking along the same precipice that drove you to do great work in the first place. Success can take the edge away.

    [54:16] Creative vision does not spring forth fully formed.

    [59:33] Fear and ego conspire to rein in creativity, and it is easy to allow creative inspiration to take a back seat to safety.

    [1:01:38] The Billionaire and the Mechanic: How Larry Ellison and a Car Mechanic Teamed up to Win Sailing's Greatest Race, the Americas Cup, Twice (Founders #126)

    [1:06:41] Once Steve decided what he wanted in a negotiation, he developed something akin to a religious conviction about it. In his mind, if he didn't get what he wanted, nothing else would take its place, so he'd walk away. This made Steve an incredibly strong negotiator.

    [1:10:52] One never knows if an event that appears detrimental is in fact part of a larger pattern that we cannot see.

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ”

    — Gareth

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    #192 Jim Casey (Founder of UPS)

    #192 Jim Casey (Founder of UPS)

    What I learned from reading Big Brown: The Untold Story of UPS by Greg Niemann. 

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    Casey pursued a Spartan business philosophy that emphasized military discipline, drab uniforms, and reliability over flash.

    I had heard stories about the company's tireless founder. He was a living legend. Jim Casey started working from the age of eleven to support a family of five.

    Casey began at the bottom. He speedily delivered messages and packages on foot. Casey learned about efficiency by doing.

    Seconds saved become minutes over the day and a few minutes each day mean big dollars.

    To outsiders the UPS regime has always seemed excessive.

    People have always bought more than they could carry, and a hundred years ago they had no cars to help them out. When Jim Casey and his partners began their delivery service, it served only department stores, and the UPS role was to complete the stores' retail transactions.

    Humility was one of Jim Casey's most strongly held values.

    Our real, primary objective is to serve. To render perfect service to our stores and their customers. If we keep that objective constantly in mind, our reward in money can be beyond our fondest dreams.

    Service is the sum of many little things done well.

    Good management is taking a sincere interest in the welfare of the people you work with. It is the ability to make individuals feel that you and they are the company–not merely employees of it.

    Jim Casey watched the streets carefully. He watched movement. He watched what people sold and what people bought. He was an eternal puzzle solver, his mind constantly preoccupied by every sensory detail involving his core business, packages. He gravitated to them, mesmerized by how they were wrapped and how they were delivered.

    When traveling between meetings Casey would frequently tell his driver to stop when he saw a UPS delivery in progress. Without identifying himself, Casey would ask UPS drivers what they thought of their job. He'd listen carefully and consider their answers seriously. These informal "man on the street" interviews became an invaluable way for him to assess the efficiency of UPS delivery operations in a way that a UPS manager's filtered version could not.

    Jim Casey's office was a small stark room, occupied only by a desk, several chairs, and a coat tree. His door was never closed.

    His answer for sluggish layers of management was decentralization, and his attitude toward employees was an unwavering belief in and respect for the individual.

    Money and prestige did not push him. Excellence did.

    Casey's personal code was discipline.

    Hardly a shining star, Jim Casey was more a steadily burning flame.

    Distill Jim Casey's lifelong message to its essence and you get: Neatness, humility, frugality, dependability, safety, strong work ethic, integrity.

    This unassuming ascetic with an iron will based his company and his every move on ethics that he learned as a child. Jim Casey's parents greeted hardship with grit and ingenuity.

    Jim was by then old enough to apprehend his parents' mounting anxiety, to understand that his father was not healthy by comparison with other men. The worried atmosphere undoubtedly had effect.

    At the end of the nineteenth century, the number of American children in the workforce reached staggering proportions. Over two million children worked in mines, factories, and sweatshops, many in appalling conditions.

    For the Caseys, there was no alternative. It was critical. With two younger brothers to protect and a mother and an ailing father to support, eleven-year-old Jim Casey had developed a maturity that belied his age. His family was in precarious straits, and it was up to him to solve the problem.

    He worked more than ten and a half hours a day, and longer on Saturdays, starting at $3 a week. [He is 11]

    He picked up and delivered telegrams, mail, and packages —working from 7 P.M. until 7 A.M.

    It wasn't all telegrams. Many of the night calls were drug addicts summoning a messenger to help replenish their stash.

    During winters, it rained and rained. Jim was often cold and wet. Wealthy people could afford fancy hotels. Jim often looked with envy at them through the windows, as they sat in the big hotel chairs looking out onto the rain from warm lobbies.

    Thompson shot and killed Moritz. [Jim’s partner]The cold-blooded murder left the other two boys stricken.

    The company, founded in that six-by-seven-foot basement office, would eventually become United Parcel Service.

    Jim wrote to the Chambers of Commerce of every American city with a population over 100,000, asking for names of local delivery firms. He accumulated the names and then initiated a communications link that he called the "Parcel Delivery Service Bureau." The bureau was a means of sharing new methods, ideas, or systems that worked in different cities. Every once in a while, the correspondence disclosed a gem of an idea, which Jim would hurry to implement. [Founders allows you to do the same]

    Mr. Carstens told them that he would not fund their venture, but that they should not interpret his resistance as a disincentive. He finished with the words "determined men can gave do anything." That comment became an invocation; Jim Casey would use it as a rallying cry time and again.

    We have nothing to sell except service.

    Rather than paying up front with cash, they funded these acquisitions by pledging what they had, which meant shares of UPS stock. UPS was to use this strategy numerous times in coming years.

    The vision beyond retail store delivery made sense to Casey and he later related “Think of the scores of millions of additional packages we would handle if we delivered all those going into each territory, rather than what goes out of the stores we happen to serve."

    UPS would take on the ICC one city, state, or multistate area at a time.

    Like Aesop's tortoise, UPS was sure and steady, plodding toward its objective of providing delivery service all over America, moving forward with perseverance and a humility that bordered on stealth. Big Brown was slowly but inevitably taking over the country.

    As Jim Casey commented “Employee-ownership is credited by the people inside and outside the company with having done more than any other thing toward making our company and our people so notably successful financially and otherwise."

    Fred Smith and his FedEx was sheer genius. That FedEx was established in 1973 as an airline, not a ground delivery company, is an important legal distinction, because the company was exempt from onerous common carrier regulations. Airlines fall under a different regulatory body (the FAA), not the ICC that regulated trucking companies.

    And FedEx didn't intend to start up city by city as UPS always had. The concept was hatched nationwide, with its one hub, from the very beginning.

    Most UPSers took the ostrich approach, ignoring the new company. Some denigrated it, saying, for instance: How are they going to deliver them on the ground? Their network's too small. People don't need that much delivered overnight. Costs are too high. They'll probably go under.

    Business building, to Casey, depended on the hard work and loyalty that the stock ownership inspired. "The basic principle which I believe has contributed more than other to the building of our business as it is today, is the ownership of our company by the people employed in it."

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    Transition seldom comes easily. Of course, we cannot clearly see all of the steps ahead. It is always easier to see difficulties than to develop methods of solving them. But first, let us take sight of a goal. The difficulties will be solved in ways we cannot now see.

    First is the dream, then development, followed by improvement until the dream becomes a reality. Later a new dream makes the products of an earlier one obsolete. This has been the course of industrial history, and in its path have been the victims and the victors of progress. —Jim Casey

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ”— Gareth

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    #21 Masters of Doom: How Two Guys Created an Empire and Transformed Pop Culture

    #21 Masters of Doom: How Two Guys Created an Empire and Transformed Pop Culture

    What I learned from reading Masters of Doom: How Two Guys Created an Empire and Transformed Pop Culture by David Kushner.

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    [0:35] For a new generation, Carmack and Romero personified an American dream: they were self-made individuals who had transformed their personal passions into a big business, a new art form, and a cultural phenomenon.

    [1:19] His (John Carmack) game and life aspired to the elegant discipline of computer code.

    [1:40] Romero wants an empire. I just want to create good programs.

    [3:07] No matter what Romero suffered he could always escape back into games.

    [4:55] Romero’s stepdad smashed Romero’s face into the machine as punishment for playing video games.

    [5:24] He beat Romero until the boy had a fat lip and a black eye. Romero was grounded for two weeks. The next day he snuck back to the arcade.

    [7:40] One afternoon his father left to pick up groceries. Romero wouldn't see him again for two years.

    [8:53] Alibaba: The House That Jack Ma Built by Duncan Clark. (Founders #32)

    [10:20] Arcade games were bringing in $5 billion a year. Home systems were earning $1 billion. His stepfather did not believe game development to be a proper vocation. You'll never make any money making games he often said.

    [11:28] A business is just an idea or service that makes somebody's life better. —Richard Branson

    [12:58] Richard Garriott came to fame in the early eighties through his own initiative + Explore/Create: My Life in Pursuit of New Frontiers, Hidden Worlds, and the Creative Spark by Richard Garriott.

    [13:20] Ken and Roberta Williams also pioneered the Ziploc distribution method, turning their homemade graphical role-playing games into a $10 million–a–year company.

    [14:19] Carmack quickly distinguished himself when he was only seven years old. He scored nearly perfect on every standardized test placing himself at a ninth grade comprehension level.

    [15:03] The Cook and The Chef by Tim Urban

    [16:05] Carmack had never worked on a computer before but took to the device as if it were an extension of his own body.

    [16:39] All they desired is be able to create their own world.

    [17:08] The Accidental Billionaires: The Founding of Facebook: A Tale of Sex, Money, Genius, and Betrayal by Ben Mezrich.  (Founders #14)

    [17:44] He read the passage about computers in the encyclopedia a dozen times.

    [18:36] He relished this ability to create things out of thin air. As a programmer he didn't have to rely on anyone else.

    [18:54] A book that inspired John Carmack: Hackers: Heroes of the Computer Revolution by Stephen Levy

    [20:35] When Carmack finished the book he had one thought: I'm supposed to be in there.

    [21:09] If you want to understand the entrepreneur, study the juvenile delinquent. The delinquent is saying with his actions, “This sucks. I’m going to do my own thing.” —Let My People Go Surfing (Founders #18)

    [22:48] Carmack was sentenced to one year in juvenile detention. Most of the kids were in for drugs. Carmack was in for an Apple II.

    [24:24] Carmack knows what he wants to do with his life and then he eliminates everything else that’s not that.

    [24:32] Carmack relished the freelance lifestyle. He was in control of his time, slept as late as he wanted, and, even better, answered to no one.

    [27:16] How id Software was born.

    [31:26] Super Mario Brothers 3 sold 17 million copies. The equivalent of 17 platinum records —something only artists like Michael Jackson had pulled off.

    [33:20] Carmack was of the moment. His ruling force was focus. Time existed for him not in some promising future or sentimental past but in the present condition. He kept nothing from the past—no pictures, no records, no games, no computer disks. He kept nothing but what he needed at the time. His bedroom consisted of a lamp, a pillow, a blanket, and a stack of books. There was no mattress.

    [35:58] Shareware dated back to a guy named Andrew Fluegelman. In 1980, Fluegelman wrote a program called PC-Talk and released it online with a note saying that anyone who liked the wares should feel free to send him some “appreciation” money. Soon enough he had to hire a staff to count all the checks. Fluegelman called the practice “shareware,” “an experiment in economics.”

    [37:42] Then he got an idea. Instead of giving away the entire game, why not give out only the first portion, then make the player buy the rest of the game directly from him? No one had tried it before, but there was no reason it couldn’t work.

    [38:26] There was no advertising, no marketing and virtually no overhead except for the low cost of floppy discs and Ziploc bags, because there were no other people to pay off. Scott could price his games much lower than most retail title. $15 to $20 as opposed to 30 to 40 for every dollar he brought in Scott was pocketing 90 cents. By the time he contacted Romero, he had earned $150,000 by word of mouth alone.

    [38:54] I just love the fact that he could do it on his own. By himself. He doesn't have to ask permission. He doesn't have to deal with publishing. He just makes something people like and then they can pay him directly.

    [39:50] They didn’t need any help getting motivated. Carmack seemed almost inhumanly immune to distraction.

    [40:45] All of science and technology and culture and learning and academics is built upon using the work that others have done before.

    [41:23] They start spending nights and weekends developing their own games. They still have day jobs.

    [42:19] The first Keen trilogy was now bringing in fifteen to twenty thousand dollars per month. It wasn’t just pizza money anymore, it was computer money. Carmack was only twenty years old, Romero, twenty-three, and they were in business.

    [43:31] Carmack’s maxim on problem solving: Try the obvious approach first; if that fails, think outside the box.

    [44:45] They didn’t seem to have a business bone in their bodies. When they told Williams how much they were making he blurted out “You’re telling me you’re making fifty thousand dollars a month just from shareware?”

    [50:30] I think it takes a certain level of discipline to have a company that's making millions of dollars a year and yet not expand out and try to add all these unnecessarily expenses. (A mistake made a lot in the history of entrepreneurship)

    [53:39] The more business responsibilities they had, things like order fulfillment and marketing, the more they would lose their focus —making great games.

    [53:55] The Everything Store: Jeff Bezos and the Age of Amazon by Brad Stone. (Founders #179)

    [55:28]  Innovate, optimize, then jettison anything that gets in the way.

    [58:49] The more shareware was distributed, the more potential customers ID would be able to collect. We don't care if you make money off the shareware demo they told the retailers. Move it in mass quantities. The retailers couldn't believe their ears. No one had ever told them not to pay royalties.

    [59:23] Take the money that you might have given me in royalties and use it to advertise the fact you're selling Doom.

    [1:02:19] Even though only an estimated 1% of people who downloaded shareware bought the remaining game, $100,000 worth of orders were rolling in every day.

    [1:05:56] Why, they wanted to know, did they need GTI? Ron didn’t relent. “Look,” he said, “maybe you’ll sell a hundred thousand copies of Doom in shareware, but I believe if you give me a retail version of Doom and, let’s call it for lack of a better term, Doom II, I think I could sell five hundred thousand or more units.”

    [1:08:16] For Carmack it wasn't the cash that was intriguing. It was the opportunity to get back into the trenches.

    [1:10:53] Romero spelled out his new life code: It was time to enjoy ID’s accomplishments, no more crunch mode, no more bloodshot nights, no more death schedules. Carmack remained quiet.

    [1:14:06] Carmack said Romero was pushed out of ID because he wasn't working hard enough.

    [1:14:21] The main point of conflict between Carmack and Romero: Romero wants an empire. Carmack just wants to create good programs.

    [1:24:15] He's just making colossal mistake after colossal mistake. Not adhering to anything that had previously made him successful.

    [1:25:50] All those things Carmack had berated him about: The hyperbole, the lack of focus, the dangers of a large team— had come back with vengeance.

    [1:27:56] My favorite paragraph in the book: “In the information age, the barriers just aren’t there. The barriers are self-imposed. If you want to set off and go develop some grand new thing, you don’t need millions of dollars of capitalization. You need enough pizza and Diet Coke to stick in your refrigerator, a cheap PC to work on, and the dedication to go through with it. We slept on floors. We waded across rivers.”

    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ”

    — Gareth

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    #228 Michael Bloomberg

    #228 Michael Bloomberg

    What I learned from reading Bloomberg by Michael Bloomberg. 

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    [2:08] Answering to no one is the ultimate situation.

    [3:02] Twitter thread on Michael Bloomberg by Neckar.Substack.com

    [5:28] We never made the error that so many others have: mistaking their product for the device that delivers it.

    [6:27] We knew our core product was data and analytics.

    [7:01] We were motivated by an idea that we could build something new that just might make a difference.

    [9:04] Total Recall: My Unbelievably True Life Story by Arnold Schwarzenegger

    [10:05] I was willing to do anything that they wanted. I would have never left voluntarily.

    [16:00] Street smarts and common sense were better predictors of career achievements.

    [17:40] Almost all occupations have a big selling component: selling your firm, your ideas and yourself.

    [18:20] It is the doers, the lean and hungry ones, those with ambition in their eyes and fire in their bellies, who go the furthest and achieve the most.

    [21:36] Comparing John to Bill on leadership, I always thought John was more egalitarian, but less effective.

    [22:55] It was a lowly start. We slaved in our underwear and an un-air conditioned, a bank vault.

    [23:57] The General and the Genius: Groves and Oppenheimer - The Unlikely Partnership that Built the Atom Bomb

    [24:22] Amp It Up: Leading for Hypergrowth by Raising Expectations, Increasing Urgency, and Elevating Intensity by Frank Slootman

    [27:20] David Geffen biography: The Operator: David Geffen Builds, Buys, and Sells the New Hollywood

    [30:07] It's said that 80 percent of life is just showing up. I believe that. You can never have complete mastery over your existence. You can't choose the advantages you start out with, and you certainly can't pick your genetic intelligence level. But you can control how hard you work. 

    [31:20] Life, I've found, works the following way: Daily, you're presented with many small and surprising opportunities. Sometimes you seize one that takes you to the top. Most, though, if valuable at all, take you only a little way. To succeed, you must string together many small incremental advances-rather than count on hitting the lottery jackpot once. Trusting to great luck is a strategy not likely to work for most people. As a practical matter, constantly enhance your skills, put in as many hours as possible, and make tactical plans for the next few steps. Then, based on what actually occurs, look one more move ahead and adjust the plan. Take lots of chances, and make lots of individual, spur-of-the-moment decisions.

    [32:12] Don't devise a Five-Year Plan or a Great Leap Forward. Central planning didn't work for Stalin or Mao, and it won't work for an entrepreneur either.

    [34:16] I truly pity people who don't like their jobs. They struggle at work, so unhappily, for ultimately so much less success, and thus develop even more reason to hate their occupations. There's too much delightful stuff to do in this short lifetime not to love getting up on a weekday morning.

    [38:48] Did I want to risk an embarrassing and costly failure? Absolutely. Happiness for me has always been the thrill of the unknown, trying something that everyone says can't be done, feeling that gnawing pit in my stomach that says danger ahead. I want action.

    [40:28] Let My People Go Surfing: The Education of a Reluctant Businessman

    [41:37] I rented a one room temporary office. It was about a hundred square feet of space with a view of an alley, a far cry from my previous place of employment. I deposited  $300,000 of my Salomon Brothers windfall into a corporate checking account. And fifteen years later, I had a billion-dollar business.

    [45:25] By endurance we conquer.

    [46:50] Zero to One by Peter Thiel

    [47:14] Made In Japan: Akio Morita and Sony by Akio Morita

    [51:19] The Almanack of Naval Ravikant: A Guide to Wealth and Happiness

    [54:35] Sid Meier's Memoir!: A Life in Computer Games

    [58:30] Each news story is a product demo. More demos lead to more revenue. More revenue leads to more stories and then even more revenue.

    [1:03:24] He's got a lot of these like roundabout ways to get in front of potential customers. He’s repurposing the information that his unique business collects.

    [1:15:53] When it comes to competition, being one of the best is not good enough. Do you really want to plan for a future in which you might have to fight with somebody who is just as good as you are? I wouldn't. —Jeff Bezos

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

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    #196 Winston Churchill (Leadership during WW2)

    #196 Winston Churchill (Leadership during WW2)

    What I learned from reading The Splendid and the Vile: A Saga of Churchill, Family, and Defiance During the Blitz by Erik Larson. 

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    I  wondered how on earth anyone could have endured it: fifty-seven consecutive nights of bombing, followed by an intensifying series of nighttime raids over the next six months. In particular I thought about Winston Churchill: How did he withstand it? 

    It is one to say "Carry on," quite another to do it.

    History is a lively abode, full of surprises.

    The only effective defense lay in offense.

    The king harbored a general distrust of Churchill's independence.

    He had lived his entire life for this moment. That it had come at such a dark time did not matter. If anything, it made his appointment all the more exquisite.

    At last I had the authority to give directions over the whole scene. I felt as if I were walking with destiny, and that all my past life had been but a preparation for this hour and for this trial.

    Churchill brought a naked confidence that under his leadership Britain would win the war, even though any objective appraisal would have said he did not have a chance. 

    Churchill knew that his challenge now was to make everyone else believe it too.

    He considered Churchill to be inclined toward dynamic action in every direction at once.

    "If I had to spend my whole life with a man," she wrote, "I'd choose Chamberlain, but I think I would sooner have Mr Churchill if there was a storm and I was shipwrecked.”

    Churchill was flamboyant, electric, and wholly unpredictable.

    Churchill issued directives in brief memoranda.

    No detail was too small to draw his attention.

    Churchill was particularly insistent that ministers compose memoranda with brevity and limit their length to one page or less. "It is slothful not to compress your thoughts," he said.

    Anything that was not of immediate importance and a concern to him was of no value.

    Churchill wanted Germans to "bleed and burn."

    I have nothing to offer but blood, toil, tears and sweat.

    In the Churchill household defeatist talk inspired only rage.

    "It would be foolish to disguise the gravity of the hour," Churchill said. "It would be still more foolish to lose heart and courage.”

    Churchill said, "We shall not hesitate to take every step-even the most drastic-to call forth from our people the last ounce and inch of effort of which they are capable.”

    Recognizing that confidence and fearlessness were attitudes that could be adopted and taught by example, Churchill issued a directive to all ministers to put on a strong, positive front.
     

    If this long island story of ours is to end at last, let it end only when each of us lies choking in his own blood upon the ground.

    Churchill demonstrated a striking trait: his knack for making people feel loftier, stronger, and, above all, more courageous. 

    We shall fight on the beaches, we shall fight on the landing grounds, we shall fight in the fields and in the streets, we shall fight in the hills; we shall never surrender.

    Let us therefore brace ourselves to our duty and so bear ourselves that if the British Commonwealth and Empire lasts for a thousand years, men will still say, This was their finest hour.

    He had been fond of quoting a French maxim: "One leads by calm."

    “Your idle & lazy life is very offensive to me," Churchill wrote. "You appear to be leading a perfectly useless existence." 

    So confident was Hitler that England would negotiate, he demobilized 25 percent of his army. But Churchill was not behaving like a sane man.

    Churchill’s message was clear. “We shall not stop fighting until freedom, for ourselves and others, is secure.”

    Nothing must now be said which would disturb morale or lead people to think that we should not fight it out here."

    It typified the uniquely unpredictable magic that was Churchill—his ability to transform the despondent misery of disaster into a grimly certain stepping stone to ultimate victory.

    There was still no sign that Churchill was beginning to waver.

    When raids occurred, he dispatched his staff to the shelter below but did not himself follow, returning instead to his desk to continue working.

    Churchill did many things well, but waiting was not one of them.

    Churchill’s resilience continued to perplex German leaders. "When will that creature Churchill finally surrender?" 

    Brush aside despondency and alarm and push on irresistibly towards the final goal.

    Goebbels confessed in his diary to feeling a new respect for Churchill. "This man is a strange mixture of heroism and cunning. If he had come to power in 1933, we would not be where we are today. And I believe that he will give us a few more problems yet. He is not to be taken as lightly as we usually take him.

    To be stupid about one's life is a crime.

    She told Churchill that the best thing he had done was to give people courage. He did not agree. "I never gave them courage," he said. "I was able to focus theirs.”

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

    Be like Gareth. Buy a book: All the books featured on Founders Podcast