Startups Scene in Midwest Heats Up
My wife has been a Venture Capitalist (VC) for some sixteen years. She’s spent a goodly amount of that time in the Chicago area. In that time, the startup scene has changed tremendously. Back in the 90′s most of the IT activity was around Fortune 500 companies, of which there are quite a few in the Chicagoland area.
The few startups that did percolate back then were facing dual handicaps — there was a dearth of startup talent in the Midwest and most VC’s held the opinion that to be successful, startups had to move to the coasts (preferably the west coast and within easy traveling distance of the VC’s office). Even the VC’s located in Chicago had to travel to the coasts to find interesting startups.
Fast forward 15 years and the scene has dramatically changed. There’s both a deeper talent pool of technical and other skills that have startup experience. Partly
that’s because there have been enough startups and small entrepreneurial companies in the Chicago area over the intervening years to build an experienced cadre of people who relish the startup environment and aren’t afraid of flying free of the stultifying stability of the corporate paycheck.
But beyond that I’ve been impressed by the overall entrepreneurial culture I see in the IT community in Chicago. Everyone is working after hours on their business idea. It reminds me of the industrial revolution, in some ways, as expressed in the following quote.
The greatest invention of the nineteenth century was the invention of the method of invention.
– Alfred North Whitehead
In much the same way the greatest innovation in the Midwest is a culture and spirit of innovation. Witness that Pathfinder Development is working on products for seven(!), countem, seven startups at the moment. Exciting times.








