The Lucky Office Story
Have you ever wondered what it takes to spot the next big thing before it becomes a household name? What if I told you that some of the most successful investments in history were made by ordinary people who just happened to be in the right place at the right time? Today, we’re diving into the fascinating story of seven strangers who invested in Google before it became the tech giant we know today. Their story isn’t just about luck—it’s about how they created their own luck. Let’s break it down.
The Lucky Office:
Where It All Began
https://www.google.com/maps/place/165+University+Ave,+Palo+Alto,+CA+94301/@37.4445201,-122.1659596,877m/data=!3m2!1e3!4b1!4m6!3m5!1s0x808fbb3757b1a9ff:0x46b620cd54e54622!8m2!3d37.4445201!4d-122.1633847!16s%2Fg%2F11bw3z_b8d?entry=ttu&g_ep=EgoyMDI1MDEyOS4xIKXMDSoASAFQAw%3D%3DTheir story starts at 165 University Avenue in Palo Alto, California, a building known as the “Lucky Office” or the “Karma Building.” This unassuming office space has been the birthplace of some of the most iconic companies in tech history. Google, PayPal, Logitech, and even the company that created Android all started here. It’s like the Silicon Valley version of a magical factory where dreams come true.
But here’s the kicker: this office isn’t just lucky because of the companies it birthed. It’s lucky because of the people who walked through its doors—people who saw potential where others saw just another startup.
The First Investors:
Andy Bechtolsheim and David Cheriton
The first two people to invest in Google were Andy Bechtolsheim and David Cheriton, two Silicon Valley legends. Andy, one of the founders of Sun Microsystems, was known as the “Golden Boy” of tech. One day, he received an email from two Stanford students named Larry Page and Sergey Brin, who pitched him on their new search engine idea. They called it PageRank, and it was unlike anything else at the time.
Instead of relying on editors to curate search results (like Yahoo did), PageRank used social proof, it ranked websites based on how many other sites linked to them. Andy was blown away. He met with Larry and Sergey, watched a demo, and immediately wrote them a check for $100,000. The catch? Google wasn’t even incorporated yet, and they hadn’t agreed on a valuation. Andy didn’t care. He just knew it was the best idea he’d ever seen.
David Cheriton, a Stanford professor and Andy’s friend, was next. Known as the “Billionaire Professor,” David was famously frugal (he rode his bike everywhere and lived in the same house he owned before he got rich). But when Andy told him about Google, David didn’t hesitate. He wrote a check for $150,000. Together, Andy and David’s early investments turned into billions when Google went public.
The Godfather of Silicon Valley:
Ron Conway
Next up is Ron Conway, one of the most influential angel investors in Silicon Valley. Ron’s story is a masterclass in networking and generosity. He didn’t just invest in companies—he built relationships with founders and helped them succeed, even if he didn’t stand to gain anything.
Ron first heard about Google at a holiday party. David Cheriton mentioned that he’d invested in two Stanford students with a revolutionary search engine. Ron was intrigued. He spent five months trying to get a meeting with Larry and Sergey, and when he finally did, they gave him a challenge: “You’re in if you can get Sequoia Capital to invest.”
Ron worked his magic and got Sequoia and Kleiner Perkins (two of the biggest VC firms at the time) to co-invest in Google. But here’s the twist: when the VCs couldn’t agree on terms, Larry and Sergey turned to Ron and said, “Can you just give us the $10 million yourself?” Ron didn’t hesitate. He stepped up and made the deal happen, securing his place in Google’s history.
The Accidental Investor:
Shaquille O’Neal
Yes, you read that right—Shaquille O’Neal invested in Google. Here’s how it happened: Shaq was sitting in a hotel lobby when he saw Ron Conway with his grandkids. Shaq, being the friendly giant he is, started playing with the kids. Ron was so impressed that he struck up a conversation with Shaq and told him about this little company called Google.
Shaq ended up investing a few hundred thousand dollars and forgot about it. Years later, he read in the newspaper that he was listed in Google’s S-1 filing (the document companies file before going public). His investment turned into over $100 million. Not bad for a chance encounter in a hotel lobby!
From Garage to Billionaire:
Susan Wojcicki
Susan Wojcicki, the former CEO of YouTube, played a pivotal role in Google’s early days. Her sister was dating Sergey Brin, and Susan rented out her garage to Larry and Sergey for $1,700 a month. As she saw them working day and night, she became convinced that they were onto something big. She quit her job and became Google’s 16th employee, eventually rising to become one of the most powerful women in tech.
The Rug Salesman Turned Investor:
Pedram Nozad
Susan Wojcicki, the former CEO of YouTube, played a pivotal role in Google’s early days. Her sister was dating Sergey Brin, and Susan rented out her garage to Larry and Sergey for $1,700 a month. As she saw them working day and night, she became convinced that they were onto something big. She quit her job and became Google’s 16th employee, eventually rising to become one of the most powerful women in tech.
The Quiet Investor:
Jeff Bezos
Even Jeff Bezos, the founder of Amazon, got in on the action. He invested $250,000 in Google early on, though the details of how he got involved are murky. What’s clear is that Bezos saw the potential in Google’s technology, and his investment paid off handsomely.
The Lessons:
How to Create Your Own Luck
So, what can we learn from these seven strangers who struck gold with Google? Here are the key takeaways:
- Proximity Is Power: Being in the right place at the right time matters. Whether it’s Silicon Valley or another hub of innovation, being close to the action increases your chances of spotting opportunities.
- Build a Reputation, Not Just a Portfolio: Ron Conway’s success wasn’t just about picking winners—it was about helping founders succeed, even when he didn’t stand to gain. His reputation as a generous, founder-friendly investor opened doors to the best deals.
- Trust Your Gut: The best investors often make decisions in minutes, based on their gut feeling about the founder or the idea. Overthinking can lead to missed opportunities.
- Be Prepared to Act Fast: When Andy Bechtolsheim saw Google’s potential, he didn’t wait for a valuation or a formal agreement. He wrote a check on the spot. Sometimes, speed is the difference between getting in on the ground floor and missing out entirely.
- Luck Favors the Bold: Shaq, Pedram, and Susan Wojcicki didn’t set out to become billionaires. They took chances, trusted their instincts, and reaped the rewards.
Final Thoughts:
The story of Google’s early investors is a reminder that success isn’t just about luck, it’s about creating opportunities, building relationships, and being bold enough to take risks. Whether you’re an aspiring entrepreneur, an investor, or just someone looking to make smarter decisions, these lessons can help you create your own luck.
So, what’s your next move? Are you ready to spot the next big thing? Let me know! And if you enjoyed this post, don’t forget to share it with your friends. Who knows? You might just inspire the next Google investor.
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