Published Aug 23, 2022

Dogfood Your Ideals (w/Ellen Huet)

Ellen Huet and Eric Newcomer delve into the rise and fall of WeWork under Adam Neumann, revealing the sway of charisma in venture capital, and tackle the contradictions in Silicon Valley's housing crisis through the lens of Marc Andreessen's and Neumann's latest controversial projects.
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Episode Highlights

  • Andreessen's Stance

    Marc Andreessen's opposition to urban density in Atherton highlights a stark contrast between his public advocacy for building more housing and his personal actions. points out the irony in Andreessen's stance, noting that despite his calls for increased housing development, he resists such changes in his own affluent neighborhood 1. This hypocrisy is emblematic of a broader trend among Silicon Valley elites who support housing initiatives in theory but resist them in practice. adds that this attitude is common, as many support building housing in abstract terms but not when it affects their own backyard 2.

    It's a little sad that, like, when so many people, I feel now know the concept of being a nimbY and understand the, like, sort of the negative effects overall to, like, our society that comes with nimbyism.

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    This resistance to local development underscores the challenges of addressing California's housing crisis.

       

    Neumann's Ventures

    Adam Neumann's new venture, Flow, has sparked intrigue and skepticism, particularly given his controversial past with WeWork. explains that Flow is a residential real estate initiative, distinct from his other venture, Flow Carbon, which involves blockchain and carbon credits 3. Despite the lack of clarity around Flow's operations, it has secured significant funding from Andreessen Horowitz, raising eyebrows due to Neumann's previous business failures 4. The investment, reportedly the largest ever from Andreessen, suggests a willingness to bet on Neumann's potential for innovation despite past controversies.

    It's still optically. And with 350 million in some form, they went all in again on Adam Newman, a person that many people, you know, would never invest in again in their life.

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    This move reflects a complex interplay of trust, risk, and the allure of transformative ideas in the tech industry.

       

    Atherton Tensions

    The affluent neighborhood of Atherton is embroiled in tensions over proposed housing policy changes, highlighting the broader issue of NIMBYism. describes how residents, including tech and finance elites, are resisting zoning changes that would allow multifamily housing, fearing it would disrupt their community's character 5. The state's push for more housing development has intensified these tensions, as local residents write letters opposing the changes, citing concerns over privacy and increased traffic 6.

    Atherton is basically on the hook to build something like 350 ish new housing units in the next x years.

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    This situation underscores the challenges of balancing state housing mandates with local resistance, a microcosm of the broader housing debate in California.

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