An Interview with Ann Winblad

Wolfson :   Do you think businesses in this field have a responsibility to the community at large besides their own business and employees?
Winblad :   The fact that they are a machine for job creation is an extraordinary contribution to the community. This is an industry where pretty lavish salaries are being paid to a lot of people, from the receptionist at the front desk to the rock-star programmer. And I think that that is an extraordinary contribution to industry.

It's very difficult when you're running one of these companies in this era to have a lot of extra time and money and to still compete with the best of the best. The larger companies, such as Microsoft and Oracle, have already established giving groups. Somebody's in charge of giving and analyzing where money should go from their cash reserves. And so the bigger companies have moved ahead in that area.

If you're good in math, take an acting class. If you're good in liberal arts, squeeze your brain to take that math class or programming class.

They do it quietly versus publicly, which is a characteristic of this industry versus others. They don't try to attach their giving programs with any individual. The age of the typical software CEO is around 40. It's not right for people to expect us to move into our philanthropic era decades before our predecessors have. We are still in an era where one misstep in running our companies can destroy jobs, destroy those corporate giving programs. It's very hard to keep your nose to the grindstone as a youthful entrepreneur while at the same time having broad civic participation.

It's not right for people to expect us to move into our philanthropic era decades before our predecessors have. We are still in an era where one misstep in running our companies can destroy jobs.

But I think you will see in a decade that, as some of these young entrepreneurs are now entrepreneurs in their 50s, that people will enter personal philanthropic eras.


Bill Hewlett

And certainly we have many great role models here in the valley. Hewlett and Packard are certainly the best of the best.

Sequeiros :   Is there some advice you have in general for students?
Winblad :   I think that there is a reward if you take risk. But there is no such thing as luck. Chance benefits a prepared mind. I really do think there's an extraordinary payoff for being a good student, and for really challenging yourself as a student.

If you're good in math, take an acting class. If you're good in liberal arts, squeeze your brain to take that math class or programming class. It's really amazing that if you start running companies or become a leader in industry how many different skill sets are challenged. Especially if you are good in science and math, find ways to train yourself to be a good communicator.

I think that there is a reward if you take risk. But there is no such thing as luck. Chance benefits a prepared mind.

I took acting classes when I went to college cause I realized I'm sort of on the nerd edge. It was very scary for me to actually take those classes and do a lot of public speaking. And now that's an integral part of what I have to do on a weekly and daily basis.

Wolfson :   What are the primary ingredients for success as a venture capitalist? Intuition? Opportunism?
Winblad :   I think it's discipline. Someone asked me, wouldn't you rather be running a company? It's so exciting right now. Why are you a venture capitalist? Isn't that the sidelines?

Yes, it is. But coaching is a really hard job. If you watch those NBA playoff games, you can see that the coaches never strip their suit off and run in and start shooting the baskets. The coaches have to keep their eye on the strategy and the competition. And when you're coaching, you have to see what the competition is doing even faster than the players who are out there shooting baskets.

It's really amazing that if you start running companies or become a leader in industry how many different skill sets are challenged.

So what skills does a venture capitalist need? One is being able to communicate well with the teams you're backing. Second is being able to really be dependable intellectual capital: we're thinking all the time. Third is knowing how to find team members to bring in. Fourth is really understanding the entire competitive landscape, not just your team but the rest of the industry. And fifth is knowing your limitations as a coach, so that you can provide other advisors to the company so that your team has the most competitive advantages of all.