Holy crap @fourfathom. Damn you were the person I had In mind when I posted my question, $7.2 billion exit for your company, congratulations. I have a few questions for you:
how did you decide on Cerent?
There are hundreds of new startups each year with compelling products, what do you look for In a startup?
On staying on the technical track, it is relatively easy to be a middle manager, how did you have your engineering capabilities and contributions valued at the same level?
What advice would you give to your 25 year old self? what about educational attainment?
To be honest, my good fortune was hugely dependent on luck, and far beyond my most optimistic expectations. Looking back, there were choices and inflection points, but we all know the story of how a hurricane might be triggered by the flapping of a butterfly's wings in Africa. I have no way of knowing which, if any, of the decisions I made actually affected the outcome. Cerent could have easily crashed and burned -- we came very close to that on a few occasions.
How did I decide on Cerent? My boss and I had already been through one startup (as engineers), which was a modest success and had been acquired a few years previously. We were being treated well but were getting bored with the incremental product support and enhancements, and with the big-company atmosphere. There were other startups spinning off in our "Telecom Valley" area and we were looking for new opportunities. Vinod Khosla (one of the founders of Sun Microsystems and a partner at Kleiner Perkins -- one of the big V.C. firms) had an idea, and was working with some ASIC designers who wanted to start a company. They needed a team with System experience, and contacted my boss. We met with them and kicked some ideas around, ultimately deciding to form the company. I helped recruit more engineers and staff and we took it from there. As it turned out, what we eventually developed was pretty far from Vinod's initial vision. This story is told pretty well in that book I mentioned (
https://www.amazon.com/Upstart-Startup-Cerent-Transformed-Cisco/dp/1505303826) .
As I mentioned, there were other startups that I might have joined, but the chance to do something fresh on our own terms (as much as that is possible) sounded like way more fun. I didn't realize how far and fast our area of the network would be exploding, but there were indications that the time was ripe. We had the enthusiastic backing of a major VC, and I felt that if Cerent (initially "Fiberlane") failed, I would have plenty of opportunities to continue my career growth.
What would I look for in a startup? I don't really know, and have made a few (in retrospect) poor choices when investing or assisting in new startups after I retired. But it depends on your goals and tolerance for risk. For a big payday you want very early stage companies with smart people, solid financial backing, and a product plan that makes sense for an emerging market. But a relatively green engineer will have a hard time getting hired at the earliest stage -- they need experts and people who can wear many hats. Once the design and implementation phases get into gear there will be a need for less senior people, but the potential payoff will be smaller. But by this time the risk is somewhat lessened (still pretty high though). And hardware engineering is only one factor in a company's success. Sales, marketing, *software*, availability of expansion capital, the competition, the customers (and sometimes the politics) all have to come together. And this is all generalization. Good VCs look at all these factors and they still get it wrong more often than not.
Is it easy to be a middle manager? That depends on you. I'm a pretty crappy manager, and I despise the required rigid adherence to schedules (at least in the early stages of a significant technical challenge). I'm a better team leader and mentor, but in the startup I did what I needed to do (and usually what I was supposed to do). Fortunately, in the early stages I had a strong team of motivated engineers. This is a big reason why I prefer startups -- we're all generally pulling in the same direction. In an established company there are more conflicting and competing projects, and often more "empire building". In my limited management career, I was always an engineer first, and usually took on some challenging and interesting tasks, while managing a few junior team members. I expect that different companies have different policies on this. but I would never consider a position where I couldn't get my hands dirty. In my experience, middle managers aren't compensated much better than good engineers. Again -- other places, other outcomes.
Advice to my 25-year-old self? Back then I was an engineering tech, or "associate engineer", doing what I enjoyed. I had (and have) no degree, and wasn't making much money. I suppose I would tell myself to hang in there, keep learning, and look for opportunities to grow. Break out of your ruts. Stay positive, make friends. Which is what I did. But as I said before, chaos reigns supreme.
I am a generalist, with a few areas of specialization and huge holes in my knowledge. But being a generalist I am (perhaps) more able to use techniques common in one domain and apply them in others. This lets me work around my knowledge gaps and occasionally yields an elegant solution. But I also recognize when my limitations will create difficulties, and am not afraid to turn to experts for help.