Sign up FAST! Login

The Rise of the New York Startup Scene - Technology Review

Stashed in: Silicon Valley!, YCombinator, @fredwilson, New York, Codecademy, MIT TR

To save this post, select a stash from drop-down menu or type in a new one:

The Palo Alto, California-based venture capital firm Accel Partners made only a few investments in New York between 2008 and 2011, but now it has about 18 there, making it the firm's second-largest investment area behind Silicon Valley. It opened its first New York office—only its second in the U.S.—last year after noticing a rise in the quality of local entrepreneurship and more diversity in the types of companies, such as in social media, e-commerce, and mobile services, says Sameer Gandhi, a partner at Accel.

Like Crowley, Zach Sims decided to set up shop in New York when he cofounded Codecademy, a startup that teaches people how to write software code—even though his company's early days were spent in Silicon Valley as a participant last summer in Y Combinator, a Mountain View, California-based accelerator. Sims and cofounder Ryan Bubinski had attended Columbia University in Manhattan, building up a network of people they wanted to hire, and their main investor, Union Square Ventures, is based in the city. Sims also thinks working in New York is a good way to be in touch with the kinds of people who would use Codecademy, since the startup's offerings are geared toward people who aren't entrenched in the tech scene—and those people are easier to find in New York than in Silicon Valley.

New York City doesn't feel like a community the way Silicon Valley does.

For better and worse.


Plus, a Dell monitor?!

You May Also Like: