Amy and I had a very quiet weekend hanging out with each other, Brooks the Wonder Dog, and Super Cooper the Pooper. We like Memorial Day weekend – it always feels like the beginning of summer to us.
I read three books over the weekend. Since I was home, rather than reading on my Kindle, I grabbed some books from the infinite pile of physical books I have in my office. New stuff shows up every week – mostly business and entrepreneurship books, and the occasional “I think you’d like this” book. In addition, whenever I want something that isn’t on the Kindle, I just buy the physical book.
So this weekend was about startup communities with a bonus book on the startup visa tossed in for good measure.
The first was The Making of Silicon Valley: A One Hundred Year Renaissance. This book was written in 1995 and published by the Santa Clara Valley Historical Association so the updated subtitle should be “A One Hundred Year Renaissance – 20 Years Later.” Anyone interested in Silicon Valley, what it means, and how it came together should read this book carefully from cover to cover. There is so much shortened history out there, where the most extensive typically only goes back to Shockley, Fairchild, The Traitorous Eight, and the founding of Intel. The history is so much richer, the one page stories about the companies the shaped each era are just awesome, and the perspective of what 120 years really means for a the startup community that is undeniably the most robust in the world right now is very powerful. It also ends just as the rise of the Internet begins, so it’s the long arc of Silicon Valley is not overshadowed by the last twenty years.
The next book I read was Screw the Valley: A Coast-to-Coast Tour of America’s New Tech Startup Culture. I don’t like the title – it’s too intentionally provocative for my tastes because I’m not anti-Silicon Valley but rather pro-building startup communities everywhere – but the book is excellent. Timothy Sprinkle interviewed me early in his process and then set off on an almost one year trip across the US where he spent real time in Detroit, New York, Las Vegas, Austin, Kansas City, Raleigh-Durham, and Boulder. He writes extremely deep stories about each startup community, along with strengths, weaknesses, and things that are going on that shape them. I show up in a number of times, both personally along with references to my book Startup Communities, and Timothy does a nice job of using some of the concepts from Startup Communities to draw out major themes in each city. This is a great snapshot in time – right now – to show how startup communities develop anywhere.
The last book I read was The Startup Visa: Key to Job Growth & Economic Prosperity in America. Tahmina Watson wrote an extremely clear and easy to process book on the problem of the startup visa, why the US immigration system and visa process doesn’t work for entrepreneurs, why this matters, and makes recommendations about what to do about it. She also gives a nice history of the various bills in Congress, going back to S.3029 in 2010 (Lugar, Kerry) titled “The Startup Visa.” It’s disappointing that it’s five years later and Congress can’t seem to get a bill on the Startup Visa passed – or anything on immigration for that matter – but that’s life in government.
If you want a real punch line to the whole situation, read the short article from the NY Times Magazine – Debunking the Myth of the Job-Stealing Immigrant by Adam Davidson. Amy handed it to me on Monday and I said “I don’t really feel like reading another thing on immigration because I’m so annoyed by our lack of progress.” But then I did, and it was a great read.
Yesterday morning, over scrambled eggs and smoked salmon with Jeff Bussgang of Flybridge Capital (he had yogurt), we talked about immigration reform and our broken immigration system. Both Jeff and I have been working hard on making it much easier for immigrant entrepreneurs to get visa’s to start their companies in the US. Both of us have been unsuccessful in our efforts at a national level. At the end of the discussion, we decided to start the Global EIR Coalition to open source our approach and try to help every state in the US implement a similar program.
Last year Jeff and a bunch of his friends in Massachusetts created the Massachusetts Global Entrepreneur in Residence pilot program. The MA GEIR was a brilliant approach to a state level solution to this problem. The MA group did extensive legal work on this and the MA legislature passed a bill for it as part of their 2014 Jobs Act.
I watched from the sidelines with intrigue. I had become very discouraged at a federal level and have been spending mental cycles pondering state’s rights issues and state level approaches to things. I have deep respect and admiration for two our Colorado’s congressman – Michael Bennet (senate) and Jared Polis (house) – each which have worked very hard on immigration reform – and have learned a huge amount from them, including how hard it is to get things done in Washington. I also have enormous respect for Mark Udall who was Colorado’s senior senator and one of the original sponsors of the Startup Visa bill.
So when I started seeing what Jeff was doing in Massachusetts, I started working on a similar approach in Colorado with Craig Montuori, and Chris Nicholson of Venture Politics. This culminated in our recent launch of the Colorado EIR program.
One difference between the MA and the CO programs is funding. In MA, there was originally $3 million of state funding. I decided I wanted to try this in CO without any state funding, so I just funded the program myself for the first year to the tune of $150,000 (CU decided it was important to provide some funding directly as well, so they are contributing $50,000 to the program.) Unfortunately, after the election, the new MA governor defunded the program (although he has reinstated $100,000 of funding) so the group in MA is now working on a funding approach that does not rely heavily on the state.
As we iterate on this, we are learning an enormous amount about what works and what doesn’t work. Jeff and I agreed that we should amplify and expand our learning, so other states can build off of our experience as well as help us figure out a long-term, sustainable approach. We are clearly in experimentation mode, but with strong support intellectually from local leaders, such as Phil Weiser (Dean of CU Boulder Law School and head of Silicon Flatirons.)
While I’m not giving up on a federal solution, I plan to put my money and my energy into a state level solution. The dynamics around gay marriage and legalization of marijuana have intrigued me greatly, and as I read early American History, I understand (and remember) the original dynamic of the United States, where there are States that are United from the bottom up, rather than simply a federal government dictating policy top down.
As someone who loves networks and hates hierarchies, this is the right approach for my psyche. I’m ready to take another big swing at this from a different angle.
If you are working on something similar in your state, please reach out to join the Global EIR Coalition. Today is our first day in existence, so expect us to be chaotic, underfunded, and under-resourced just like every other raw startup. But, like Steve Blank and Eric Ries inspire us to do, we are just launching, aggressively doing customer developing, and iterating rapidly.
And, if you are a foreign entrepreneur who wants to build your company in Colorado, email me to apply to the Colorado GEIR program.
For Jeff’s perspective on what we are doing, take a look at his post Hacking Immigration – The Global EIR Coalition.
Two big proposals from Massachusetts Governor Deval Patrick today. First, he’s proposing to ban non-competition agreements. He’s also proposing an incredibly clever and innovative approach to immigration reform applicable only to Massachusetts.
I lived in the Boston-area for twelve years (Cambridge for four years and Boston for eight years. ) Even though I often say that was 11 years and 364 days too many for my “non-big city, non-east coast” personality, Boston still has a sweet spot in my heart. I had an amazing (and often excruciating) experience at MIT which was foundational to my personality, thought process, and character. I started and sold my first company there (first office – 875 Main Street, Cambridge; last office 1 Liberty Square, Boston). Techstars Boston was the first geographic expansion for Techstars. I’m not a sports fan but I always root for the Red Sox. I think I have more close friends in the VC business in Boston than in the Bay Area. Two of my closest friends – Will Herman and Warren Katz – both live there. And I know my way around downtown Boston – even after the Big Dig – better than any other downtown in the world.
The Massachusetts non-competition situation has always been stupid. In 2009, my partners and I at Foundry Group joined a coalition of VCs to try to eliminate non-competition agreements in MA. It’s awesome to see Governor Patrick take action on it since it’s one of the major inhibitors of the MA entrepreneurial scene.
The immigration report proposal is even more fascinating. It’s a great example of creative and innovation public-private policy at the state level to encourage and enhance entrepreneurship. Jeff Bussgang from Flybridge explains it succinctly in his post so I’ll just repeat it here.
“The idea is a simple one: create a private-public partnership to allow international entrepreneurs to come to Boston and be exempt from the restrictive H-1B visa cap. How is it possible to do this? The US Citizenship and Immigration Services Department (USCIS) has a provision that allows universities to have an exemption to the H-1B visa cap. Governor Deval Patrick announced today that the Commonwealth of Massachusetts will work in partnership with UMass to sponsor international entrepreneurs to be exempt from that cap, funding the program with state money to kick start what we anticipate will be a wave of private sector support.”
Brilliant. As our federal government continues to struggle to make any real progress on immigration reform, I love to see it happening at the state level. In addition to being good for innovation, it’s the kind of thing that dramatically differentiates states from one another on a policy, business, and innovation dimension that actually matters and likely has significant long term positive economic impacts on the region.
Governor Patrick – kudos to you. Governor Hickenlooper – I encourage you to roll out exactly the same thing in the State of Colorado. I know exactly the people at CU who would be happy to lead this, as would I. And since one of our Senators (Michael Bennet) is leading the immigration reform effort in the US Senate and our other Senator (Udall) has been a strong supporter of the Startup Visa and immigration report from the first discussion about it in 2009, I expect you already know your broad constituents support it.
Oh – and to my friends in NY who have been helping on the immigration reform front, let’s crank this up in NY also! Why should MA have all the fun?
I’m totally sick and exhausted with our federal government. Boehner’s statement yesterday on immigration, where he said “We have no intention of ever going to conference on the Senate bill” was the last straw for me. Idiotic and totally broken.
I could rant for a while, but I won’t. Instead, I’ll encourage you to watch this amazing video that Jennifer Bradley just showed at the Startup Phenomenon conference. She totally nails it – people at the top, then metros, then states, and then federal government following their leads.
I just bought Jennifer’s book The Metropolitan Revolution: How Cities and Metros Are Fixing Our Broken Politics and Fragile Economy and plan to read it this weekend.
Two of the public policy things I care about are patent reform and immigration reform. I believe our patent system – especially with regard to software and business method patents – is completely and totally broken. And our immigration system – especially concerning immigrant entrepreneurs – is an embarrassment.
There is suddenly a lot of focus and attention on both of these issues. That’s good, and I’m hopeful that it will result in some meaningful positive changes. It pains me to see other countries – such as Canada, the UK, and New Zealand – be more progressive, open, and forward thinking around entrepreneurship and innovation than the US. There are days when I’m discouraged by our political system, but as I’ve gotten older and spent more time with it the past few years, I’m getting to a zen state of not being discouraged, but rather accepting the reality of the process and just being consistent and clear about what I think is important and how to fix it.
On the patent front, Twitter recently finalized a powerful approach – the Innovator’s Patent Agreement (the IPA). With this, they’ve agreed – as a company – to only use their patents defensively. I think this is extraordinary leadership on Twitter’s part. Our government and the USPTO is not moving aggressively to fix a problem that is now stifling innovation in the software industry, so leaders in the software industry can, and should, take matters into the own hands. As Fred Wilson describes in his post today, the IPA is an incredibly clever and forward looking approach. I’m proud of my friends at Twitter for providing this leadership and I encourage entrepreneurs and investors to understand the IPA and consider applying it to their patent approached.
On the immigration reform front, today is the second to last day of the March for Innovation. Go to the March for Innovation page to tell your Senators how important this issue is and read what a bunch of tech leaders are saying on the Mashable March for Innovation page. If you want just my thoughts, you can go read them at Broken Innovation Shutters Innovation.
Last week TechStars London was approved for the UK Entrepreneurs’ Visa. If you are accepted to TechStars London, you now automatically get the UK Entrepreneurs’ Visa.
The approval will allow TechStars London teams from outside of the EU to work in the UK for up to three years. After the three years, they can apply to extend their stay by a further two years if they want to continue living here. Furthermore after three years teams have the right to apply for permission to settle in the UK if their business has created at least 10 new full-time jobs in the UK. Partners and children of the teams can also apply for settlement.
As you likely know, I’ve been advocating for something like this in the US since 2009. Fred Wilson wrote a good post yesterday on the current state of Immigration Reform in the US which includes a summary of the recently introduced comprehensive immigration reform bill. It includes a bunch of things I’ve advocated for since I started paying attention to this in 2009, including a Startup Visa and a STEM Visa (or – in my language – “a Visa stapled to the diploma of every college graduate.”)
I hope we finally get something done in the US. In the mean time, Canada and the UK are being very forward looking about their immigration policy in the context of immigration. The US doesn’t have a monopoly on innovation – it’s time for us to get our act together on the immigration front. In the mean time, TechStars London applications are open!
With the immigration debate in Washington heating up, Americans across the country recognize that we need smart and practical solutions to help reform our country’s broken immigration system.
Our immigration laws haven’t been significantly updated in almost 50 years, while other countries are implementing immigration programs to lure entrepreneurs, innovators, skilled workers, and other valuable potential employees. Meanwhile, our system still works to support a Cold War economy in the 21st century. It’s an outdated and outmoded system that is as frustrating as it is ineffective.
That’s why this past February I joined with the Partnership for a New American Economy to join the March for Innovation, one of the largest virtual marches on Washington to promote smart immigration reform that will keep us competitive and help our economy grow. Run by the Partnership – a coalition of more than 500 mayors and CEOs led by New York City Mayor Michael Bloomberg – the March will unite these same leaders and the greater public in pushing for economically-smart, pro-tech, pro-entrepreneur immigration reform, including:
- Visas for entrepreneurs
- Access to high-skilled workers when and where they are needed through H-1B visas and green cards
- Green cards for the advanced degree graduates in science, technology, engineering and math (STEM) we are training in our universities
And we need your help! As we saw last year, virtual marches like the online protest against SOPA and PIPA can make a real difference in Washington. However, SOPA and PIPA worked because the campaign went viral. With your support, we can make the March for Innovation even more effective.
This call to action starts today and will culminate with a Thunderclap when legislation is introduced in May. We invite you to join us:
Start by sharing a tweet or Facebook post at marchforinnovation.com
- If you have a story to tell, share it with the March for Innovation team at the same site
- Join the Thunderclap (which will flood Twitter on the day of the March for Innovation) and follow the March on Facebook and Twitter
- Use your company homepage to drive traffic to marchforinnovation.com with their widget atmarchforinnovation.com/get_
- Email the March at firstname.lastname@example.org and tell them how you think you can help the effort.
I encourage you to get involved and get active on this issue. Our competitiveness on the world stage may depend on it.
I’ve had a shitty morning.
After a really fun day yesterday in Waterloo at Communitech, which is really impressive, I woke up at 4:30am to make my 6:30am flight from Toronto to Chicago on my way to Little Rock, Arkansas where I’m speaking at the launch of Startup Arkansas. I was going to run the Little Rock Marathon on Sunday but I’m undertrained and – while I could get it done – decided I wasn’t ready to deal with the physical and emotional recovery cycle given all the work I’ve got going on. So I bailed on the marathon, but since they’d organized the Startup Arkansas event around my schedule and managed to procure me a number for the sold out marathon, I decided to go ahead and fulfill my commitment to that.
At 5:30am after checking in and getting my boarding pass, I slammed into the wall of US CBP. I’ve been through the Toronto checkpoint a few times and it’s always a long line that moves slowly. I got to the front by 5:45am so I felt like I had plenty of time to make my 6:30am flight.
As I waited for my turn, I noticed the CBP agent whose line I was in was moving slowly. The guy two people in front of me took about three minutes to clear – he had to take off his hat, then his glasses, and had to do some fingerprint thing on the scanner that I can’t remember ever having seen used before. I didn’t really think much of it, but I noticed it.
When it was my turn, I said a polite hello to the CBP agent, gave him my passport and customs form, and waited patiently. He handed me back my customs form and said “Put your correct address on this.” I looked down and noticed I had written my P.O. Box in Eldorado Springs as my address, since that’s my address. I responded “That’s my correct legal address.” He responded, “Do you live inside a P.O. Box?” I said, as politely as I could, “No.” He then said “Is your house inside your P.O. Box?” I said, “No, I have a house a mile away, but the P.O. Box is my address – at least that’s what the US Postal Service says.” By this point I realized he wanted a street address and not a P.O. Box, so I said “I’m sorry, I’ll write down the house address I have” which I proceeded to do.
I stood there quietly for about a minute as he typed stuff into his computer. He then handed my passport and my customs form to me after scribbling something illegible on it, handed me a yellow card, pointed at a room, and said, “Go into that room.” I asked whether there was a problem and he said more forcefully, “Go into that room.”
I did. It was a bigger room with about 10 CBP people. There were about 5 non-CBP people. No one acknowledged me as I walked into the room. I went up to one of the CBP people and said, “I was told to go to this room – can you tell me what I need to do?” He responded, “Give me your documents and go sit down over there until called.” This time I asked “Can you explain what’s going on?” The response was “Go sit over there until you are called.”
At this point I got anxious. I went and sat down. I sent Amy and my assistant Kelly an email telling them where I was. I tweeted that I had been detained by CBP. I started looking up flight information on my iPhone and a different CBP agent barked at me, “Sir, you must turn off your cell phone in this room.” So I did.
I looked at the clock. It was now 6:00am. I resigned myself that I was going to miss my 6:30am flight. At 6:15am I heard someone from the other end of the room call “Feld.” I got up, took my bags, and went to where that person was. He told me to put my bags down and stand in front of him. He proceeded to empty out my bags and go through them carefully. After he packed them back up, he typed a few things into the computer, asked me a few routine questions, including where I lived, which I answered more precisely this time with a house address, explained that the postal service wouldn’t come to deliver to my house, so I had a P.O. Box as the US Post Office that I used as my address. He stamped my forms, handed them back to me, and pointed at a door and said, “Go through there.”
I had no idea whether things were about to get better or worse. I asked him politely, “Can you explain why you are detaining me.” He responded with “Because you are traveling to the US.” I said, “I was asking why you’ve detained me for 30 minutes. Specifically, what was the reason?” The CBP officer said, “Because you are traveling to the US – we don’t have to give you a reason.”
I quietly picked up my stuff and went through the door he had pointed at. It led me back to the security area, in front of the long line to go through the xray machine, but behind the CBP checkpoint. So apparently I had now cleared customs, but still had to go through security.
It was 6:25am at this point. No way I was going to make my flight. I took a deep breath, realized my heart rate was high (probably over 100), and I was extremely anxious. I went into mellow shut down mode as quickly as I could, just soldered through security, and got to my gate. At the point the normal absurdity of air travel took over and even though I was on a United / Air Canada codeshare, the gate agent for the flight I missed (Air Canada) wouldn’t help me, the United Global Services people couldn’t figure out how to change my ticket, and ultimately I wandered over the gate that I figured out with the United Global Services person was my replacement flight, where the gate agent there was very helpful and soothing for the first time this morning.
I’m now in Chicago waiting for my flight to Little Rock. Given the flight times, I’ve got a lovely three hour wait, which I’m filling up with a long blog post to empty my head, all the phone calls that Kelly scrambled to reschedule, and some email time.
I’ve been awake for 7 hours. I’ve managed to get from Toronto to Chicago. My heart rate is back to normal. I feel fine but the 45 minutes of CBP stress, which was minor compared to what I know a lot of people face, sits with me in a very bitter way. CNN is in the background with the talking heads blathering on about sequestration and all the problems it, and our government, are creating. And I remember that getting into Canada on Wednesday took me literally five minutes, was pleasant, and welcoming.
What a shitty morning.
Today appears to be government day on Feld Thoughts. This morning I wrote about the Colorado PUC trying to shut down Uber in Colorado (bad). Now I get to write about Senators Mark Udall (D-Colo.) and Jeff Flake (R-Ariz.) re-introducing the Startup Visa Act of 2013 (good).
Mark – thank you – you’ve been an awesome supporter of this and leader of the effort since the first day we discussed it in 2009. Senator Flake – thank you for showing leadership on this issue.
Yesterday, as part of his Comprehensive Immigration Report plan, President Obama explicitly listed the Startup Visa as one of the initiatives.
Obama: “Create a “startup visa” for job-creating entrepreneurs. The proposal allows foreign entrepreneurs who attract financing from U.S. investors or revenue from U.S. customers to start and grow their businesses in the United States, and to remain permanently if their companies grow further, create jobs for American workers, and strengthen our economy.”
He also supported stapling green cards to diplomas, something I’ve been advocating since my OpEd with Paul Kedrosky in the Wall Street Journal on 12/2/09 titled Start-up Visas Can Jump-Start the Economy.
Feld/Kedrosky: We also think science and engineering graduates should get visas stapled to their diplomas. You complete your higher education here, you get to stay so that you can get out and create jobs, innovate, and grow the economy. Uncle Sam wants you, if you’re a prospective entrepreneur.
Obama: “Staple” green cards to advanced STEM diplomas. The proposal encourages foreign graduate students educated in the United States to stay here and contribute to our economy by “stapling” a green card to the diplomas of science, technology, engineering and mathematics (STEM) PhD and Master’s Degree graduates from qualified U.S. universities who have found employment in the United States. It also requires employers to pay a fee that will support education and training to grow the next generation of American workers in STEM careers.
Fred Wilson, who has also been a vocal leader for these initiatives, expressed his appreciation that these issues are now part of the national immigration reform discussion in his post The Startup Visa.
Wilson: The President announced yesterday that he was in favor of a Startup Visa. Hallelujah. … It’s a shame that it takes almost four years before a good idea gets the President’s support. And its a greater shame that there are many in Congress who will still vote against this idea.
Fred and I are both paranoid optimists – we both hope this gets done this time around. Our country deserves it. Senators Udall and Flake – thank you for the leadership here.
I read the announcement today that Canada has just launched a Start-Up Visa Program. By doing so, they are saying to the world “welcome immigrant entrepreneurs – please come start your business in Canada.” It’s brilliant, well executed, and modeled after the Startup Visa movement that a number of us have been trying to get started in the US since 2009.
I continue to be really discouraged by the US government activity around the Startup Visa movement, and more specifically around immigration reform as it applies to entrepreneurs. After trying for the past three years to get something passed, nothing has happened beyond administrative changes to the existing laws. While in some cases this has improved the interpretation of the rules, we are still totally missing the boat here in the US. CBP and USCIS continue to implement the rules inconsistently, resulting in regular outrageous situations including tossing entrepreneurs with existing valid visas in jail when they enter the US and banning other entrepreneurs from coming into the country as a result of misinterpretation by CBP of how things should work. I hear at least one horrifying story a week, try to help when I can, but mostly am just embarrassed and ashamed of our US policies around this.
While Canada is plowing forward making it easy for immigrant entrepreneurs to move to Canada and start companies, the US efforts are now entirely focused on “comprehensive immigration reform.” The first bills for this are supposed to start appearing in a few months and I expect we’ll see similar dynamics that we saw around Obamacare. Endless political machinations, an ever expanding set of bills that cover all kinds of things in addition to immigration reform, and a complex set of tradeoffs that have unintended consequences that no one can understand.
On top of this, I’ve heard from a number of political insider friends that “the vote math doesn’t work.” I’ve learned that this means it is an incredible uphill battle to get anything passed, and the compromise that is going to happen to get certain people in Congress to support the bills means that the “tradeoffs and compromises” (which the more cynical among us – including me – means “the political bribes they need to agree to vote a certain way”)are going to be extensive.
In the mean time, Canada is shouting from the rooftops about the benefits of the Start-Up Visa program.
- The Start-up Visa Program will enable immigrant entrepreneurs to launch innovative companies that will create jobs in Canada, and eventually, compete globally.
- The Program will provide entrepreneurs with valuable assistance in navigating the Canadian business environment which can sometimes prove challenging for newcomers.
- The Program will provide private sector firms with access to a broader range of entrepreneurs, including the best and the brightest minds from around the world.
Since I believe entrepreneurs should be able to start their companies anywhere in the world they’d like, I applaud the Canadian government for taking action here. And I encourage any immigrant entrepreneur considering moving to the US to also consider moving to Canada given this new program.
Dear Mr. Friends In Washington: Pay attention. We continue to be less competitive because of our intransigence around immigration, especially with regard to being entrepreneurs. Canada is showing real leadership. Why not just emulate them?