Mark Suster argues that tech companies need technical expertise built in-house rather than outsourced to third-party developers. He emphasizes that founders should have a technical foundation as part of their core DNA, not treat it as something to bolt on later.
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Make sure that tech is part of your DNA. And I'm probably in the wrong place to say this message because I think it's pretty well understood here, but particularly outside of Silicon Valley, you see a lot of people who have third parties build their software. I'm okay if a third party builds your prototype just to get it up and running, but you have got to have, if you want to be an Internet business or a tech business, you've got to have a foundation. The DNA has got to be technical. And I guess Jason, News in LA can attest to this. How many people in LA come to me and it's three business guys who know Ashton Kutcher. You don't know Ashton, do you? I'm one of those guys, though. Yeah. Yeah. And did I say that to you when you came in? Yeah. Ok, sorry. But I normally tell people it's for your own good. Go find a tech person. Because this idea that I can have a third party build it for cheap somewhere else and we're the business guys, we get it, it just never works, it never scales, it never becomes interesting. And people often don't think about when businesses are bought. If they're bought on profits, okay, they're buying you for a different reason. But if they're really buying you in the 15 to $50 million range, which I will repeat, is a lot of money, if they buy you in that range, they're often buying what you have, the technology, the market positioning. But they want you, they want your team, and they don't want to buy something that has eight guys remote for a third party building software.