John Hennessy, Stanford University's 10th president, talks about how the future of Silicon Valley lies in supporting the creative environment fueled by the combination of universities, big companies, and the entrepreneurial spirit.The creative environment is conducive to innovation because you never can predict where the next breakthrough will occur, he says.
Hennessy answers the question: Can the walls between Stanford and Silicon Valley ever become too permeable?Yes, he says, there are situations in which a conflict of interest or conflict of commitment can cause problems. The break between academia and business should occur when the focus of the research becomes about productizing the research rather than about the research itself.
Hennessy explians that the biotech and biomedical space are characterized by the importance of patents.Contrarily, patents are not crucial in intellectual property companies because there are often many comparable ways to do the same thing.Additionally, most IT companies spun out of a university fail because they miss the market window, not because the technology fails. For biotech companies, success is much more based on the patent and the quality of the technology, he adds.
A good entrepreneurial company requires a variety of people with diverse skills, says Hennessy.Though there is a natural tendency to focus on the technology side of the company, non-engineering people are just as critical as the engineering people.In addition, the success of a venture is not based solely on the skills of the technical employees, but on the ability of the team to work together.
Hennessy answers the question: How do you get people to stay at Stanford when there is so much opportunity in the business sphere? He remarks that companies are great things, but they are missing most of what makes a university so appealing to its employees: the freshness and excitement of the students and the freedom to conduct one's own research.
Hennessy predicts that the internet revolution is only half over.The remaining opportunities will be harder to find, but there is still a big impact to be made.Computers are still way too complicated and could be doing a lot more for the user.Wireless technology will increase mobility.In order to allow the continuation of increased performance in computing, there will have to be some major changes in technology.
Hennessy believes there is a penalty for living in the technology center of the world.It comes in the form of a high cost of living and being subjected to the fickleness of the entrepreneurial spirit, demonstrated by the bursting of the bubble.Some sacrifices have to be made to stay, but ultimately, the Silicon Valley is too exciting a place to leave, he adds.
Hennessy explains It is not necessarily a bad thing that centers of entrepreneurship are beginning to emerge elsewhere.The high cost of living in the Silicon Valley will be a key issue in its future because it will be a challenge to be number one in the burgeoning biotech revolution while maintaining the current cost structure.
Hennessy explains that the Clark Center is important to the future of Stanford because it represents the growing importance of biology to the coming century.It is a radical organization for a university because it brings together faculty from a broad range of departments in an attempt to understand the translation between basic science and the applications of basic science.
Hennessy talks about how entrepreneurship holds great potential for social endeavors. Entrepreneurs think about solving problems in different ways and therefore can offer unique and innovative solutions. Not all the lessons from business can carry over, but many will apply, he adds.
Hennessy explains there are opportunities for spin-off technology from big science government projects which can lead to startups and companies.GPS, which was a successful spin-off of Gravity Pro-B, is an example.He believes that the best environments for discovery and creativity are ones that include a wide range of people with different expertise.Universities are special because they provide the opportunity for people to work together and share ideas, creating a more productive, and more interesting, environment.