
How strongly I recommend this book: 8 / 10
Date read: October 02, 2023
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At a very basic level, this is how Elon approaches building very successful products/companies: Start with a very grandiose vision.
Deploy the idiot index (ratio of the total cost of a component to the cost of its raw materials.).
If idiot index is high, question every requirement. • Delete any part of the process you can. • Simplify after deletion. • Optimize cycle time. • Automate the process.
And while Elon’s product building is truly inspiring – his behavior is often questionable.
I went through my notes and captured key quotes from all chapters below.
P.S. – Highly recommend Readwise if you want to get the most out of your reading.
“Adversity shaped me”
“Someone once said that every man is trying to live up to his father’s expectations or make up for his father’s mistakes,” Barack Obama wrote in his memoirs, “and I suppose that may explain my particular malady.”
But the more I encountered it, the more I came to believe that his sense of mission was part of what drove him. While other entrepreneurs struggled to develop a worldview, he developed a cosmic view. I also recommend watching the Steve Jobs Lost Interview that Marty Cagan mentions in a podcast.
At first she and Errol were going to name him Nice, after the town in France where he was conceived. History may have been different, or at least amused, if the boy had to go through life with the name Nice Musk.
Errol liked the name Elon because it was biblical, and he later claimed that he had been prescient. As a child, he says, he heard about a science fiction book by the rocket scientist Wernher von Braun called Project Mars, which describes a colony on the planet run by an executive known as“the Elon.”
“It was insane to leave me and my brother alone in a park at that age,” he says, “but my parents weren’t overprotective like parents are today.”
At age thirteen, he was able to create a video game, which he named Blastar, using 123 lines of BASIC and some simple assembly language to get the graphics to work.
At first they all lived in a one-bedroom apartment, with Tosca and her mother sharing a bed while Elon slept on the couch. There was little money. Maye remembers crying when she spilled some milk because she didn’t have enough to buy any more.
One class at Queen’s used a strategy game in which teams competed in a simulation of growing a business. The players could decide the prices of their products, the amount spent on advertising, what profits to plow back into research, and other variables. Musk figured out how to reverse-engineer the logic that controlled the simulation, so he was able to win every time.
At twenty-eight, Musk had become a startup celebrity. In an article titled“Elon Musk Is Poised to Become Silicon Valley’s Next Big Thing,” Salon called him“today’s Silicon Valley It guy.”
As Musk monitored the names of new customers signing up, one caught his eye: Peter Thiel. He was one of the founders of a company named Confinity that had been located in the same building as X.com and was now just down the street. Both Thiel and his primary cofounder Max Levchin were as intense as Musk, but they were more disciplined.
PayPal
Musk now had a new mission, one that was loftier than launching an internet bank or digital Yellow Pages. He went to the Palo Alto public library to read about rocket engineering and started calling experts, asking to borrow their old engine manuals.
Why?
Another motivation was that colonizing other planets would help ensure the survival of human civilization and consciousness in case something happened to our fragile planet.
First principles
Question every cost
All requirements should be treated as recommendations, he repeatedly instructed. The only immutable ones were those decreed by the laws of physics.
Have a maniacal sense of urgency
Improvise
One of the most important decisions that Elon Musk made about Tesla—the defining imprint that led to its success and its impact on the auto industry—was that it should make its own key components, rather than piecing together a car with hundreds of components from independent suppliers.
Over the years, Musk was able to use techniques learned at SpaceX and apply them to Tesla, and vice versa.
Musk personally took over planning the event. He oversaw the guest list, chose the menu, and even approved the cost and design of the napkins. A smattering of celebrities showed up, including California governor Arnold Schwarzenegger, who was taken on a test drive by Straubel.
“Yes, let’s do it,” he said, hiring von Holzhausen on the spot. They would end up becoming a team, like Steve Jobs and Jony Ive, one of the few calming and nondramatic relationships Musk would have, professionally and personally.
In his modern London office is an original edition of Alan Turing’s seminal 1950 paper, “Computing Machinery and Intelligence,” which proposed an“imitation game” that would pit a human against a ChatGPT–like machine. If the responses of the two were indistinguishable, he wrote, then it would be reasonable to say that machines could“think.”
A few weeks after his conversations with Hassabis, Musk described DeepMind to Google’s Larry Page. They had known each other for more than a decade, and Musk often stayed at Page’s Palo Alto house. The potential dangers of artificial intelligence became a topic that Musk would raise, almost obsessively, during their late-night conversations. Page was dismissive.
Musk’s three Rive cousins—Lyndon, Peter, and Russ—were the sons of Maye Musk’s twin sister, and they had grown up with Elon and Kimbal, riding bikes and fighting and plotting ways to make money. Like Elon, they headed to America to pursue their entrepreneurial dreams as soon as they could leave South Africa. The whole clan, Peter says, followed the same maxim:“Risk is a type of fuel.”
“By trying to be nice to the people,” Musk says, “you’re actually not being nice to the dozens of other people who are doing their jobs well and will get hurt if I don’t fix the problem spots.”
The algorithm was sometimes accompanied by a few corollaries, among them: * All technical managers must have hands-on experience. For example, managers of software teams must spend at least 20% of their time coding. Solar roof managers must spend time on the roofs doing installations. Otherwise, they are like a cavalry leader who can’t ride a horse or a general who can’t use a sword.
Comradery is dangerous. It makes it hard for people to challenge each other’s work. There is a tendency to not want to throw a colleague under the bus. That needs to be avoided.
It’s OK to be wrong. Just don’t be confident and wrong.
Never ask your troops to do something you’re not willing to do.
Whenever there are problems to solve, don’t just meet with your managers. Do a skip level, where you meet with the level right below your managers.
When hiring, look for people with the right attitude. Skills can be taught. Attitude changes require a brain transplant.
A maniacal sense of urgency is our operating principle.
There are two types of lieutenants Musk favors: the Red Bulls, such as Mark Juncosa, who are highly caffeinated and voluble as they purge-pulse ideas, and the Spocks, whose measured monotones give them an aura of Vulcan competence.
One key to understanding Musk—his intensity, focus, competitiveness, die-hard attitudes, and love of strategy—is through his passion for video games. Hours of immersion became the way he let off(or built up) steam and honed his tactical skills and strategic thinking for business.
Hearing his French accent, I realized he was the same Ben—Ben San Souci—who had asked Musk about content moderation at the coffee-bar visit. An engineer by demeanor, he wasn’t a natural networker, but he was suddenly being swept into the inner circle. It was a testament to the value of serendipity—and of showing up in person.
“If we don’t accelerate, we’re not going to achieve much in our lifetimes,” he warned.
“My prime motivation with Neuralink,” he told the audience, “is to create a generalized input-output device that could interface with every aspect of your brain.”
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