One of the more interesting things about my job at Hewlett-Packard is meeting customers in the Executive Briefing Center. Sales teams from around the world bring customers to HP’s headquarters for a variety of reasons – to close a deal, discuss the latest technology with engineers or develop relationships with key executives.
Many of the meetings kick-off with a company overview and I’m one of a number of HP employees called on to give the the ‘HP Today’ presentation.
Since many customers come from across the country and around the world this can often be as much an update on Silicon Valley as it is specifically about HP.
In the last couple of months I’ve spoken to Catholic priests from Korea; MBA students from China; Japanese bankers; spies from Sweden (OK, “signals intelligence operatives” from Sweden) and bureaucrats from Britain.
I’m struck by the fact that for many visitors to Hewlett-Packard the experience of seeing how business is done in Silicon Valley and the San Francisco Bay Area must be as strange as, say, a trip to Haight-Ashbury was for Midwesterners in the Summer of Love, 40 years ago.
The visiting delegations are homogeneous: Chinese engineers come from China; Koreans come from Korea; middle-aged Caucasian males come from IT departments across the USA.
They fly in to one of the most ethnically diverse, cosmopolitan, mongrel areas on earth.
Silicon Valley’s competitive edge is that it is a unique habitat for innovation and entrepreneurship. It all started with Bill Hewlett and Dave Packard tinkering in their garage in 1939 and the pace of change has been relentless ever since.
Unlike many regions, companies in Silicon Valley have access to a high quality and mobile workforce comprised of talented people from around the world. No one racial group is in a majority. This ethnic diversity fosters an equality of opportunity startling even by American standards — 39% of all residents were born in a foreign country. In contrast to the more rigid social hierarchies of Europe, the Valley operates a results oriented meritocracy where talent and ability are king. The region’s merit-based system of rewards encourages the best and brightest to knock themselves out in hopes of being part of the next new, new thing.
What is remarkable about the Valley is the lack of an identifiable landmark. Unlike instantly recognizable symbols such as the Eiffel Tower in Paris; Big Ben in London; Times Square in New York or the Ginza district in Tokyo, there’s no building or street which symbolizes the place. As Po Bronson remarks in his amusing book The Nudist on the Late Shift, it’s not the buildings or physical surroundings which distinguish Silicon Valley, it’s the people. And they are sometimes as wacky as the hippies in the Haight in 1968. There really was a programmer in one Silicon Valley company who chose to work the night shift so he could sit at his computer au natural.
Walk the corridors HP, or any company in the Valley, and you’ll hear as many accents from Asia, Europe and Latin America as you will from the United States. It’s something the visitors to the region would do well to notice. For it’s an undeniable fact that immigrants to the area are responsible for much of the wealth. Sun Microsystems was started by a German engineer getting together with an Indian businessman; Google billionaire Sergey Brin came from Russia, albeit at the age of six; dozens of other Silicon Valley companies were founded by Indian and Chinese immigrants.
Pascal Zachary argues persuasively that diversity defines the health and wealth of nations in today’s world. What he calls ‘mongrel’ mixes of people fare better than regions other regions, such as “the great monocultures of Germany and Japan.” Whereas Germany does have immigrants, they are mostly kept outside the mainstream, as guestworkers. The Japanese remain uneasy with the idea of absorbing outsiders into the mainstream.
There’s an amusing story when, back in the Summer of Love, Grey Line (aptly named!) started bringing mid-western tourists through the Haight to gawp at the hippies, the flower children held up mirrors to the bus windows. The mirrors reflected back upon the tourists the wonder, shock or fear they experienced when they saw the free thinkin’, free lovin’ tripped-out voyagers of the new culture (some of whom, like Cap’n Crunch, inspired Jobs and Wozniak; others like Stewart Brand were early into the web.)
It may be that, by visiting Silicon Valley, businesspeople from elsewhere have a mirror held up to their own culture.