Comment by wbl
6 months ago
"The only secret worth keeping is out: the damn things work".
What products could Shanon have made only knowing information theory? Or CSRO knowing only ODFM solved multipath? Did Bob Metcalf make more money when everyone had Ethernet or if he'd licensed it much more exclusively?
It's very hard for a single fundamental result to be a durable competitive advantage compared to wider licensing on nicer terms. That's particularly true when much else goes into the product.
Shannon did a lot more than just information theory. In fact, anyone who fits the autonomy persona does because that was part of the definition.
Sure, licensing information theory is a bit of a stretch, but Shannon literally built one of the first artificial intelligence machines [1]. 2025 Shannon would've been totally fine building his own company.
If you see these idols through their singular achievements, then yes of course it's hard to imagine them outside the context of a lab, but rarely are these innovators one trick ponies.
By the way, Bob Metcalfe did indeed start his own company and became pretty successful in doing so.
[1] https://en.wikipedia.org/wiki/Claude_Shannon#Artificial_Inte...
Maybe the 2025 Bell Labs is the wider ecosystem of VCs and free floating innovators who end up starting startups instead of doing things in house.
I do think there is a lot less low hanging fruit which makes the comparison apples and oranges. Google is like Bell Labs today, and what did they invent? LLMs? Compare that to information theory, the transistor, Unix, etc.
> Maybe the 2025 Bell Labs is the wider ecosystem of VCs and free floating innovators who end up starting startups instead of doing things in house.
Yep, agree with this statement. That's exactly what I think happened.
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> Sure, licensing information theory is a bit of a stretch, but Shannon literally built one of the first artificial intelligence machines [1]. 2025 Shannon would've been totally fine building his own company.
That almost seems like a problem! We shouldn't reward a prospective Claude Shannon for moving away from fundamental breakthroughs in favor of applied research that can go into a product. We're really failing to incentivize discovering fundamentals like information theory.
Bob Metcalfe made a lot of money by making Ethernet ubiquitous. He didn't capture a lot of the value because it cannot be captured.