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Sam Altman on why it's easier to start a hard company than an easy company

In the clip below, Sam Altman tells the class at Stanford:

“It’s easier to start a hard company than an easy company. Most people—especially young people—want to pick something that doesn’t sound too ambitious. They say to themselves: ‘starting a company sounds really hard. I better pick the easiest possible company.’”

But as Sam explains:

“Starting a company is always hard and it’s about equally hard no matter what you do. If you start a hard company though and you inspire passionate people—for example, if you are working on general AI or supersonic airplanes or nuclear power—you’ll find a lot more people who are excited about that than another derivative idea.”

He elaborates on this idea even further in a blog post from four years ago:

“The most precious commodity in the startup ecosystem right now is talented people, and for the most part talented people want to work on something they find meaningful… An easy startup is a headwind; a hard startup is a tailwind. If people care about your success because you seem committed to doing something significant, it’s a background force helping you with hiring, advice, partnerships, fundraising, etc.”

He continues:

“Let yourself become more ambitious—figure out the most interesting version of where what you’re working on could go. Then talk about that big vision and work relentlessly towards it, but always have a reasonable next step. You don’t want step one to be incorporating the company and step two to be going to Mars. Be willing to make a very long-term commitment to what you’re doing. Most people aren’t, which is part of the reason they pick ‘easy’ startups. In a world of compounding advantages where most people are operating on a 3 year timeframe and you’re operating on a 10 year timeframe, you’ll have a very large edge.”