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Cincinnati's Renaissance

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Cincinnati is going through a renaissance in the traditional sense of the word. Leveraging longstanding expertise in brand development, and belief in the power of consumer products and local manufacturing, this accessible city is embracing its artistic roots and rebuilding neighborhoods.

With Proctor and Gamble headquartered in Cincinnati, the city has long been the capital of consumer branding. Now, P&G is deeply involved with the next generation of great consumer products via grants to startup incubator Centrifuse, and mentorship responsibilities for a host of other businesses. Between big businesses getting involved, and the world-class industrial design program at the University of Cincinnati, this truly American city is poised to take full part in the next wave of economic growth through serious innovation.

We started the day in the old brewery district visiting Roadtrippers - one of a few great success stories here. Having grown from 20 people to 140, the company (founded by an Englishman on a green card!) now occupies an entire building. But right down the road, there are still boarded-up homes and old warehouses -- fertile ground for community art projects, but also room for improvement!

Next we moved on to the infamous Over-the-Rhine district to visit The Brandery -- a successful incubator focused on -- you guessed it -- building great brands! As the story goes, the first time the Brandery founders came to tour the space, they took a bullet in their window. Here in Cincinnati, like Pittsburgh, deprived and dangerous neighborhoods are being reclaimed for widespread benefit. Jobs are being created, community services and social areas are being built, and the area is becoming more populated.

People (like Roadtrippers founder) moved to Cincinnati specifically to join the Brandery. In fact, half of the room at the Brandery fireside was made up of Cincinnati transplants. In addition to new faces, more people are staying who might have left a few years ago, and more people are moving back to be a part of what’s going on. All of this is just another testament to the power of entrepreneurship to revitalize the landscapes of our cities and bring jobs back to the rest of the country.

Strength Begets Strength in Startup Pittsburgh

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Much like Detroit, Pittsburgh is an historic industrial city. And like Detroit again, when American manufacturing went into decline, so did the steel city. But Pittsburgh also has a long history as a center of advanced learning; with over fifty major university research departments in the city, focusing on topics from Information Technology to Life Sciences, Robotics, and Physics, the steel city’s new economy is being powered by academic research, and advanced manufacturing.

Despite these assets that prepare this city to be a leader in the next wave of technological innovation, Pittsburgh’s humility makes its people charming but can be one of its economy’s worst enemies. The story of what’s happening here is just not getting out.

Luckily, some success speaks for itself. Carnegie Mellon University spins out the most businesses per research dollar spent than any other university in the country; thirty companies have been started by faculty and students this year alone. Alongside the University of Pittsburgh, and others, the wealth of knowledge here -- seasoned academics, professionals, and young graduates -- provides the expertise to support the youth startup revolution spreading across the country. Pittsburgh is wisely using what already makes it strong.

At the working spaces we visited, and the pitch competition hosted by AlphaLab, we saw well-developed companies, many of which were involved in making and manufacturing tangible things. Pittsburgh’s tech scene is not about software. Positioning itself apart from  Silicon Valley, and not as an imitator, has been Pittsburgh’s strength.

There’s also a human story here. In the midst of their rising success, community members are working hard to make sure that the city’s growth benefits everyone in Pittsburgh.

We met Urban Innovation21, an unparalleled public-private partnership that supports entrepreneurial growth, while also connecting that growth to underserved communities. It’s exciting and inspiring to see the innovation economy being used to revitalize deprived and underrepresented constituencies. 

We also visited StartUptown, an incubator space that is helping Uptown grow from an historically disadvantaged neighborhood to an area known for its community and entrepreneurial culture. By thinking about how growth affects the broader community, and actually using the new economy to make the city better, StartUptown is a crucial piece of Pittsburgh’s future.

If Pittsburgh can tell the story of what’s being built here, it can only help accelerate their growth. And if Pittsburgh can tell the story of how they are using their talents to make their city better for everyone, they might just be able to redefine people’s perceptions of what “tech” means, and what it’s capable of doing.

 

It’s Morning in Detroit

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This week we’re traveling with Steve Case on the Rise of the Rest road trip to celebrate entrepreneurship, in all its forms, across America. Every day we’ll post dispatches from the cities we’ve seen. Stay tuned for updates from Detroit, Pittsburgh, Cincinnati, and Nashville.

Almost a century ago, Detroit was home to the transportation revolution and pioneering entrepreneurs like Henry Ford, but over time the city lost its way. Now this famous city is coming back with a new revolution focused on reimagining the city as the best version of itself: better infrastructure, stronger businesses and tighter communities. This story is one of regeneration, renewal, and rebirth.

We spent the morning touring spaces filled with great talent from Michigan’s universities (and across the country), and bursting with great passion for rebuilding this city. From the M@dison Building to Quicken Loans, DIME (Detroit Institute of Music Education), Detroit Labs and Bizdom, it’s clear how much energy Detroit has for its next incarnation. And then at Shinola -- a local company that produces watches, bicycles, leather goods, and journals -- we saw that the manufacturing heritage that once made Detroit is again making it a world leader.

As recently as 60 years ago, Detroit was one of the top high-growth cities in the nation. Now it has an incredible opportunity to take its heritage, to inspire and retain the skilled individuals that are coming out of Michigan’s universities (Michigan has more engineers per capita than any other state in the nation), and to play leapfrog.

Ironically, one of Detroit’s great strengths is that everyone had given up on it; the stories have been so bad that it’s galvanized America’s interest. The fact that it got so bad here has created a platform for an unusual level of excitement and a boundless sense of possibility.

Had the city not lost 60 percent of its population and gone bankrupt, if Detroit did not have the chance to start again from the beginning, and rebuild from the ground-up, we might have seen a very different city today. Cities like Austin have already been through this sort of rebirth; we know that this looks like.

Today Detroit looks like a very different place. We met with Gov. Dan Snyder, Mayor Mike Duggan, and civic leaders like Dan Gilbert. We toured co-working spaces and met investors and startups that are growing quickly – bringing jobs and excitement to Detroit. People are staying in the area, and moving back to Detroit from San Francisco and New York City to be a part of what’s happening here. The energy is palpable, and the dynamics of Detroit’s story are changing.

Detroit has a long history of innovation, and today we saw a vibrant community working hard to bring that tradition back to life. What remains is the task of bringing the automotive industry back into the fold. The industrial giants have the experience to help build a new Detroit, and this new Detroit has the power to breathe new life into these incumbent industries.

 The future is bright in Motor City. Good morning Detroit! 

President Obama and Rise of the Rest Both Highlight Pittsburgh

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We were excited to learn that this week the President traveled to Pittsburgh to celebrate innovation with a visit to TechShop -- the firm that helps entrepreneurs and inventors build low-cost prototypes of their creations. Next week, we too will be in Pittsburgh and at TechShop as part of the Rise of the Rest road trip with Steve Case.

Signalling his support for more policies that encourage entrepreneurship, the President announced three executive actions designed to support advanced manufacturing and innovation:

  • $5 billion worth of advanced equipment in federal R&D facilities will be made available to innovators and startups to develop new technologies and launch new inventions. For example, entrepreneurs may be able to access NASA’s National Center for Advanced Manufacturing to produce the high-strength, defect-free joints required for cutting-edge aeronautics, and DOE’s Manufacturing Demonstration Facility at Oak Ridge National Laboratory for collaborative projects in additive manufacturing, composites and carbon fiber, and other leading clean energy technologies.
  • Five Federal agencies will invest more than $150 million in research to support the Materials Genome Initiative, increasing the Administration’s investment in the manufacturing of game-changing advanced materials. The aim of the The Materials Genome Initiative is to cut in half the time it takes to develop novel materials that can fuel advanced manufacturing and bolster the 21st century American economy.
  • In response to the President’s call to action, more than 90 Mayors and local leaders have committed to the ‘Mayors Maker Challenge’. The promise is to expand access to physical locations and new manufacturing and prototyping equipment, support manufacturing entrepreneurship, and inspire young people to pursue careers in manufacturing and engineering.

Just as the President and leaders across the country are recognizing “makers”, and the importance of supporting entrepreneurship, we can’t wait to celebrate what’s being built right here in America. Check out our infographic here!

Watch Steve Case tell the story of what we’re doing and join us in Detroit, Pittsburgh, Cincinnati, and Nashville, June 24-27.

There Are Lessons To Be Learned Outside Silicon Valley

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Skip Newberry, President of the Technology Association of Oregon, co-authored this post.

When asked for a general perception of what the startup community looks like, all too often people will volunteer information about bespectacled youths wandering around Silicon Valley with bundles of money, wearing ironic t-shirts, sipping single-origin coffee, and creating apps for you to while away time on your commute. It is, in a sense, the same type of reaction to the Portlandia phenomenon. Neither of these characterizations is entirely false–to be fair there is a lot of bird-related art throughout the Rose City–but there is a truth behind both perceptions: a new birth of economic growth and prosperity that cuts across traditional socio-economic lines that can be an enormous force for good in our communities.

Earlier this year, Engine teamed up with the Technology Association of Oregon to tell the story of Portland’s startup community. It’s the first part of the Startup Cities series that will profile more underrepresented communities around the country where startups are taking root and presenting new avenues for cities to capitalize on the innovation of its citizens to benefit the community as a the whole.

Portland was chosen as the pilot first because the city’s long history of entrepreneurship has translated very quickly into a supportive, thriving and prosperous startup community. The technology industry in the Portland Metro Area was the fastest growing in the country during the past ten years. In this same time period, the Portland Metro Area climbed to 9th in the country for startup density, and is attracting increasing levels of talent from Seattle, San Francisco, New York, Los Angeles, and Denver. Large companies such as ebay, Salesforce.com, Walmart Labs, SquareSpace, and Airbnb are also taking notice and expanding into the area.

And we know from Engine’s research that community benefits extend beyond the high wage tech jobs created. For every person a technology startup hires, 4.3 additional jobs are created in the local non-tradable sector. That’s everything from bakers to bankers, plumbers, and lawyers. Within Portland’s thriving startup community, these effects are visible and powerful.

But even more importantly, the community in Portland knows that to succeed everyone must work together. Serial entrepreneurs are becoming angel investors, helping entrepreneurs new to the scene jump in with both feet and grow products into businesses, and creating staying power that will help Portland succeed for years to come.

While no two entrepreneurial communities are alike, and replication of success stories can be a fool’s errand, the lessons of togetherness and support are ones on which Portland can lead, ones they can export, and in doing so become a leading community.

And Portland is just the first stop. It’s important that we start to look at the technology industry everywhere it exists to build a fuller picture of the community that is fast becoming the American electorate at large.

Engine Joins Steve Case's Rise of the Rest Road Tour Team

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For four days in June, we’ll be joining Steve Case, Revolution, and Up Global to celebrate entrepreneurship across the country, showcasing startups and entrepreneurs in Detroit, Pittsburgh, Cincinnati and Nashville.

From our recent research, we know that the growth in high-tech startups is not simply a “tech center” phenomenon. In fact, high-tech startups are being founded across the country, fueling local and national economic growth.

“I have always believed in the power of entrepreneurship to change the world,” said Steve Case.  “This four-day journey will shine a spotlight America’s best and brightest, wherever they reside, to demonstrate that great ideas and great companies can come from anywhere.”

“We’re so excited to hit the road and report back on a story that demands more attention: some of the most exciting things happening in tech are happening far from San Francisco and New York City,” said Julie Samuels, Executive Director of Engine. “And it’s these young startups -- growing in these cities across the country -- that will create the jobs the next generation relies on.”

We will be joined along the way by nationally recognized entrepreneurs and civic leaders to celebrate the progress of the startup economy. Steve will also personally invest in each city’s startup community by hosting a series of pitch competitions - one winner in each city will earn a $100,000 investment in their company.

Each stop along the route will feature:

  • Visits to local startups, accelerators and incubators
  • Fireside chats featuring Steve Case and other entrepreneurial luminaries in a candid conversation about the local startup ecosystem
  • Local startups pitching a panel of all-star judges, with $100K investment at stake
  • Celebration and networking for local entrepreneurs

We hope to see you on the road!

More information on the Rise of the Rest road tour, including times and locations for specific events in each city, is available at www.riseoftherest.com and by following #riseofrest on Twitter and Instagram.

Engine to Wheeler: We Look Forward to Continued Discussion

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In response to this morning's FCC hearing on preserving an open Internet, we offer the following statement:

We are again encouraged by Chairman Wheeler’s commitment to protecting the open and free exchange of information on the Internet, and to inviting comment on various paths to preserve an open Internet. We agree that network neutrality is essential for consumers, startups, and economic growth, and that “squeezing out smaller voices [and new ideas] is unacceptable”.

While we can echo the Chairman’s sentiments, he has not explained how the authority of Section 706 will achieve the lofty goals as outlined. Based on the Verizon v FCC decision, we believe that the Chairman’s proposal to rely on the Commission’s secondary authority cannot lead to rules that can both be upheld in Court and preserve the open Internet to give startups the certainty they need.

We look forward to discussing specific approaches to reaching the goal of an open Internet, and will continue to advise that Title II reclassification is the only route to preventing paid prioritization and an Internet of haves and have-nots.

 

 

12 Startups in DC for the Day

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Thanks to our team of superstar delegates, Startup Day on the Hill 2014 was a rousing success. Members of Congress and their staffs are increasingly involved with the startup community and the technologies and services we’re building; they are starting to understand that they must support what we do for the good of the whole economy.

Our Women in Technology event on Tuesday night was attended by more than 100 people and DC luminaries, including visits from startup-friendly members of Congress including Rep. Tulsi Gabbard (D-HI), Rep. Blake Farenthold (R-TX), and DNC Chair Rep. Debbie Wasserman-Schultz (D-FL), who gave the evening’s inspirational remarks.

The packed celebration was also an opportunity for us to introduce Engine’s new Executive Director, Julie Samuels, who is committed to the issue of women in technology and has laid plans to bring on a senior fellow to advise on the subject. By focusing on the under-representation of women as engineers, founders, and investors, we hope to create better policies to give women an equal opportunity.

(Here’s what Politico had to say about the evening!)

Startup Day itself was packed with incredible experiences, vibrant conversations, and bold actions – all aimed at providing members of Congress more tools and resources to support startup communities and create better public policy.

In having these conversations, we already succeeded in bringing the startup community closer to policymaking in Washington -- at least for a day. But we also hope to have had an impact as the Senate continues to work towards patent troll reform, as the House works on immigration reform, and as Congress begins to tackle the numerous issues we face as a community.

Take a look at pictures from the day!

Stay tuned, also, for new installments to our Startups Speak series -- putting a human face on the policy issues we face.

We’re thankful to CEA for their generous support, and we look forward to continuing our work together. We also thank WeWork for hosting our team at their beautiful Wonder Bread Factory, Franklin Square Group and S-3 for their assistance in getting our events together, and to our Congressional co-hosts for their assistance in the coordination of the event.

We can’t wait for Startup Day 2015!

Meet Peter Pappas, Engine Advisor on IP

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I’m really excited to launch Engine’s Senior Fellows Program. Starting with Peter Pappas as our Senior Advisor on intellectual property and other policy issues, we plan to expand the program with fellows on net neutrality, women in tech, and other relevant areas that affect the startup community.

Peter, who made his first public appearance with us at a patent reform panel in San Francisco, and then joined us in DC for Startup Day on the Hill, is the former chief of staff at the USPTO where he worked with Director Kappos and the White House on policy initiatives. In this position, Peter was intimately involved in the formulation, and passage, of the 2011 America Invents Act. And since then, he has been working with the USPTO and the White House on additional patent reform legislation that targets patent litigation abuse and fills in the gaps that were not addressed by the AIA.

Having advisors is essential for us as we continue to conduct existing policy work, and enter into new debates. Peter’s experience and expertise are particularly crucial right now, as we push the Senate to pass comprehensive patent reform.

Speaking of which, here is Peter's first op-ed for us on why we need to restore a patent system that support true innovation.

Watch Peter introduce himself and tell us why he’s excited to be here!

Critical Mass Supports Timely Patent Reform

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This morning, we -- and 5600 other people -- sent a letter to the Senate urging real patent reform. Those people include 1507 entrepreneurs, 758 investors, and 1006 inventors -- at least 150 of whom own their own patents. This should serve as yet another reminder of the critical mass of job-creating entrepreneurs and businesses that support patent reform; the Senate should take note and act swiftly.

This letter is in addition to a letter the Senate Judiciary Committee received from U.S. Senators Mark Udall (D-Colo.), Rob Portman (R-Ohio) and 15 others  late last week. Signed by a broad coalition of Democratic and Republican senators, the letter cites widespread support across the county and in Congress for reforming the U.S. patent system to protect America's most innovative industries, as well as Main Street businesses and entrepreneurs across the nation, from abusive lawsuits and costly settlements.

As the Senate receives this letter, over 100 people will meet at Stripe’s office space tonight to talk about patent reform, listen to a panel of experts -- including former USPTO Chief of Staff and Engine Fellow Peter Pappas -- and formulate a plan of action for passing meaningful reform this year.

With the majority of patent troll targets making under $10 million in revenue, this is an issue so important to our community, and the economy as a whole, that we cannot afford to wait for action. When small businesses face dubious multimillion dollar lawsuits, our innovation economy suffers.

With the Senate poised to take up this debate in earnest early next month, we are entering the final, and most important, stretch of this battle. And we need you more than ever.

If you signed today’s letter and want to do more, or if you're just joining this coalition, stay tuned for the launch of fixpatents.org, a site that will help you call your Senators directly. A number of Senators and Representatives in Austin last week confirmed that making a phone call is the single most influential action you can take to encourage action in return, so we hope you’ll join us.

As we celebrate today’s actions, we also know there is still a lot more to do. Don’t stop here. Help us see this through.

Julie Samuels Joins Engine As First Executive Director

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The Engine team and board are excited to announce that Julie Samuels has agreed to join as our first Executive Director, and has been appointed President of Engine Advocacy and Engine Foundation.

Julie has served on the Foundation board since its formation in 2012, where she has been an invaluable resource for the organization. Now we’re delighted to have convinced her to join us full-time.

Julie’s appointment is a major turning point for us. Today, Engine is a still-growing nonprofit organization (two, technically) and our staff produces economic reports, and provides policy guidance, direct advocacy, and member services to hundreds of startups. Engine’s staff and volunteers have done an amazing job of self-directing and building the organization you see today, with leadership coming from within the team, and from board members.

Julie’s job is now to take the organization through its next growth phase. She has committed to growing the team (we’re hiring!), launching a new policy fellowship program, building up a more substantial and diverse funding base, and exploring the social issues around technology in addition to Engine’s core set of focus areas. 2014 is going to be a big year.

And for those who don’t know Julie, she’s joining us from the Electronic Frontier Foundation where she was a Senior Staff Attorney, and the Mark Cuban Chair to Eliminate Stupid Patents (we swear). She’s also on a number of advisory boards, is a regular speaker at a host of prestigious places (CES, Harvard, Princeton - you get the idea), and Julie started her career as an entertainment and IP attorney. But Julie’s no ordinary lawyer. She was an advocate and journalist before law school at Vanderbilt, and interned at the National Center for Supercomputing Applications -- where the modern internet browser was born -- while still an undergraduate at the University of Illinois.

Since then, Julie has argued in the Megaupload case, has written a number of briefs for our nation’s highest courts, launched TrollingEffects.org and advised countless startups. Not to mention the hard work of maintaining a Twitter account in her dog’s name! (You can follow Julie on Twitter here.)

We believe there’s nobody better to represent startup entrepreneurs around the country, and make sure we do everything we can to foster economic growth, innovation, and achievement -- in the United States and abroad.

If you’re at SXSW this week and next, please stop by any of our many events, including this immigration reform event with many of our tech partners, and give her a warm welcome.

You can also find the press release about Julie’s appointment here.

Engine Discovers Tech Cities Across America

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This year, Engine is hitting the road to tell the stories of entrepreneurial communities in cities and towns all across America. With a video series, produced by our own Daniel Schwartzbaum, we’ll shine a light on founders and entrepreneurs, asking them why they do what they do, and what it is about their community that gives them the support they need.

We chose Portland for a our pilot project -- just a short flight from our home here in San Francisco, but light years away in terms of community building. What we found was a collaborative atmosphere where founders, capital investors, city and state government, and other local organizations came together to build, with intention and thoughtfulness, a community that feeds on the boundless energy of its proponents.

With the generous support of the Technology Association of Oregon, and their President, Skip Newberry, we have started to put together the film on what we found.

Here is just a taste: the preview trailer we produced for TAO’s office opening party last week. The full episode will be out soon. During the rest of this year, we want to discover more tech cities around the country -- let us know if you and your community want to be involved. We can't wait to hear your story.

 

 

Investors Sign Letter Urging Patent Reform

Investors Sign Letter Urging Patent Reform

Today, 39 prominent venture capitalists sent a letter to Congress urging comprehensive legislation to address the patent troll problem. Together, the signatories have aided the success of companies such as Netflix, Twitter, and Kickstarter, and they invest upwards of $1 billion annually to ensure that even more young, high-tech companies continue to grow and fuel job creation in the United States.

Engine Interview with Kansas Radio: Startup Research and Policy

Engine Interview with Kansas Radio: Startup Research and Policy

Engine's Research Director Ian Hathaway recently spoke with Jason Grill on Entrepreneur KC Radio on how high-tech startups create jobs. Referencing his recent research on the impact of startups on job creation and growth, Ian also specifically highlights the unique conditions that have led Kansas City to become a growing hub for tech entrepreneurship.

Tech Leaders Urge U.S. Senate to Pass Immigration Reform

Tech Leaders Urge U.S. Senate to Pass Immigration Reform

This week, we signed and sent a letter to the U.S. Senate alongside other leading tech groups. The movement led by TechNet gathered over 100 signatories, including the Consumer Electronics Association, Cisco Systems, Facebook, and Partnership for a New American Economy. The technology community understands the importance of the high-tech industry to the American economy, and agrees unanimously that comprehensive immigration reform is the solution we need.