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How I Built This with Guy Raz

Live From The HIBT Summit: Stewart Butterfield

How I Built This with Guy Raz

Guy Raz | Wondery

Business

4.831.1K Ratings

🗓️ 30 January 2020

⏱️ 17 minutes

🧾️ Download transcript

Summary

Our sixth episode from the 2019 How I Built This Summit features Stewart Butterfield, the co-founder of Flickr and Slack. Both companies emerged out of failure. In this live conversation with Guy, Stewart describes how he pivoted from two unsuccessful video games into two multi-million dollar brands. We'll be releasing a few more episodes from the HIBT Summit over the next few weeks, so keep checking your podcast feed.

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Transcript

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0:00.0

Hey, Prime Members, you can listen to how I built this early and ad-free on Amazon Music.

0:07.0

Download the app today.

0:09.0

New Year's is here, and with it brings the possibility of change.

0:13.0

As one behavioral scientist put it, first starts are really powerful.

0:17.0

So as you head into 2023, LifeKit is a great resource to help you plan your life and tackle changes, both big and small.

0:24.0

Listen to the LifeKit podcast from NPR.

0:30.0

Hey everyone, so today we've got another one of my conversations from the how I built this summit that happened in San Francisco last October.

0:38.0

And you know, in the world of startups, one of the most difficult moves to pull off is a pivot to maneuver out of your first idea into something that might have more potential.

0:48.0

And Stuart Butterfield, he pulled this off not once, but twice. About 70 years ago, out of the ashes of a failed video game,

0:57.0

Stuart launched Slack, an office collaboration tool that now has 12 million daily users.

1:03.0

But before Slack, back in 2004, Stuart was struggling to get traction with another video game called Game Never Ending.

1:11.0

He wound up shedding that one down two, but out of that failure, he was able to launch a photo sharing site called Flickr, which he sold just a year later for around $20 million.

1:22.0

So when I sat down with Stuart on stage, I asked him about both of those pivots, starting with the first one from Game Never Ending to Flickr.

1:32.0

There was a point, and you talk about this in the podcast, where you had to decide whether to drop all of this work on this computer game.

1:42.0

Like more than a year, I think two years of work on this game and pivot to the photo sharing site. And there was a debate, an internal debate.

1:49.0

I wonder, how did you know that that was the right thing to do? Because our instinct would tell us to push forward and to keep going.

1:59.0

Like that's what we think we're supposed to do to just carry on and march forward.

2:05.0

Yeah, there's a lot of advice that's just persevere grit, resilience, gotta keep going in the face of adversity over and over.

2:12.0

But there is definitely a point where either you know it can't work or kind of like the reverse manifesting of, I don't believe any more that this could work, which makes it very unlikely.

2:24.0

If the person leading the project doesn't believe it can work, it would be a weird fluke for it to actually to work out.

2:32.0

But we were just out of money and it would have been a much more difficult complex project to complete the game.

2:39.0

It would have taken us a minimum of another year, but probably realistic and closer to two more years.

...

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