In short
Podcast Summary: Lenny's Podcast - How Palantir Built the Ultimate Founder Factory
Episode Overview Host: Lenny Rachitsky Guest: Nabeel S. Qureshi Episode Title: How Palantir built the ultimate founder factory Released on: [Date not provided in the transcript]
Guest Background
- Nabeel Qureshi is an entrepreneur, writer, and AI policy researcher.
- Formerly a forward-deployed engineer at Palantir for nearly eight years.
- Worked on projects related to public health, AI in drug discovery, and manufacturing optimization.
Key Discussion Points
- Palantir’s Unique Hiring and Culture
- High Percentage of Founders: Nearly 30% of Palantir's PMs go on to start their own companies, indicating a strong entrepreneurial culture.
- Hiring Model:
- Focuses on hiring independent-minded, intellectually curious, and competitive individuals.
- Avoids traditional titles and hierarchies to promote meritocracy and collaboration.
- Forward-Deployed Engineer Model: Engineers work directly with clients to understand and solve their problems, which fosters deep customer relationships and rapid iteration.
- Product Management at Palantir
- PMs are typically promoted from within and have proven themselves as forward-deployed engineers.
- This ensures that PMs deeply understand customer needs and possess strong technical skills.
- Core Principles of Success
- Palantir has transformed from a service-oriented company into a profitable software platform valued at approximately $200 billion.
- Ontology-First Data Platform: Focus on building a data platform that integrates and cleans data, making it accessible for analysis and decision-making.
- Challenges and Controversies
- Palantir operates in controversial areas, such as defense and surveillance, raising moral questions about its role.
- Engagement vs. Disengagement: Nabeel emphasizes the importance of engaging with difficult moral questions instead of avoiding them.
Key Takeaways
- Cultural Fit is Crucial: Companies should define who they are not for, attracting the right talent while excluding those misaligned with their mission.
- Iterate Quickly: Gain insights rapidly by implementing short cycles of testing and iteration.
- Understand Customer Needs: A successful product is one that meets the real needs of its customers, often discovered through direct engagement.
Advice for Founders and Product Builders
- Aim High: Use benchmarks of excellence (like Palantir) to guide company culture and performance standards.
- Focus on Messy Problems: Engaging with complex, real-world issues often leads to innovative opportunities.
- Utilize AI Tools: Leverage advancements in AI to streamline processes and improve product offerings.
Final Recommendations for Engagement
- Connect with Nabeel: Follow him on [X](https://x.com/nabeelqu) or visit his [website](https://nabeelqu.co/) to dive deeper into his insights and writings.
Conclusion This episode provided a comprehensive look into how Palantir cultivates product leaders and emphasizes the importance of building an engaged culture while tackling challenging moral questions in tech. Nabeel’s insights are particularly valuable for founders looking to navigate the complexities of product development in today’s environment.
Written by AI. May contain mistakes. Listen to the episode to check what was said.
Transcript
Automatic transcript. May contain errors.0:0030 % of PMs that we found to start a company just give us a picture of what the people are like I feel like this screened really hard for a few traits in particular One is like very independent minded people who weren't afraid to push back Two is people with broader intellectual interests What's the difference between say a PM at Palantir versus a traditional PM? They were extremely half full about only making people PMs who had first proven themselves out as forward to put an edge in this You basically could not become a PM any other way There's two types of engineer at Palantir So there's one that works on the called products and the traditional software engine There was a different type of engineer which you sent into the field Right?
0:41You would spend maybe Monday to Thursday and you would actually go into the building where the customer worked and you would work alongside them you would literally get a desk there And so that engineer became known as a forward to put an engineer What's something that you believe that most other people don't? I think this is some of what's controlling the view within tech Today my guest is Nebel Koreshi Nebel is a founder, a writer, a researcher, and an engineer He was recently a visiting scholar researching AI policy at the Mercata Center alongside Tyler Cohen At one point he worked with the National Institute of Health and Major Clinical Centers to create the largest medical data set in the world He worked at the Bank of England for a bit He was founding member and VP of business development at Go Cardless One of Europe's biggest financial technology unicorns and most related to the topic of this conversation Nebel spent almost eight years at Palantir as a forward deployed engineer Working on public health projects with US federal agencies including public health services during the COVID -19 response and applied AI in drug discovery Whether you are a fan of Palantir or hate everything that they do They are an important and fast -scoring company that is pumping out incredible product leaders as you'll hear more than any other company in the world So it is worth studying and understanding I've never heard an in -depth conversation digging into how they operate build product higher and were able to scale from a primarily services business to a software business So I am very excited to bring you this insight look Interconversation we go deep into what the heck this Palantir even do Why getting good at managing lots of data is an under -appreciated secret to their success A look at the unique forward deployed engineer role that they innovated and what other companies can borrow from their insights here Also how they hire and how they build amazing product leaders plus a ton of advice on talking to customers building products and starting companies If you enjoy this podcast don't forget to subscribe and follow it in your favorite podcasting app or YouTube Also if you become an annual subscriber of my newsletter you get a bunch of amazing products for free for a year including superhuman Notion, linear, perplexity, granola and more Check it out at Lenny's newsletter .com and click bundle With that I bring you Neville, Koreshi This episode is brought to you by WorkOS If you're building a SaaS app at some point your customers will start asking for enterprise features Like Samo authentication and skim provisioning That's where WorkOS comes in Making a fast and painless to add enterprise features to your app Their APIs are easy to understand so that you can ship quickly and get back to building other features Today hundreds of companies are already powered by WorkOS Including ones you probably know Like Versel, Webflow and Loom WorkOS also recently acquired Warned The Fine grain authorization service Warned product is based on a groundbreaking authorization system called Zanzibar Which was originally designed for Google to power Google docs and YouTube This enables fast authorization checks at enormous scale While maintaining a flexible model that can be adapted to even the most complex use cases If you're currently looking to build role -based access control Or other enterprise features like single sign -on, skim or user management You should consider WorkOS It's a drop -in replacement for Auth0 and supports up to 1 million monthly active users for free Check it out at workos .com to learn more That's workos .com This episode is brought to you by Atio, the AI Native CRM Atio is built to scale with your business from day one Connect your email and calendar and Atio instantly builds a CRM that matches your business model With all of your companies, contacts and interactions enriched with actionable insights Sync in your products usage, billing info or any other data sources And Atio's flexible data model will handle it all Without any rigid templates or workarounds With Atio, AI isn't just a feature It's the foundation You can do things like instantly prospect and route leads with research agents Get real -time insights from AI using customer conversations And build powerful AI automations for your most complex worklos Industry leaders like Flatfile, Replicate and Model Are already experiencing what's next for CRM Go to atio .com slashlennie to get 15 % off your first year That's atio .com slashlennie Thank you Nebiel, thank you so much for being here.
5:10Welcome to the podcast Thanks, honey. Glad to be here In our chat today, I want to zero in on a post that you recently wrote Where you shared your reflections on your time at Palantir You spent something maybe just under eight years there The reason I'm really interested in Palantir is I've been doing a bunch of research recently Looking into which companies hire the best product managers and Create the best product managers and Palantir just keeps coming up over and over in the work that I'm doing So I'll share a few stats real quick So I looked at which companies produce the most founders Especially out of their PM team and Palantir is by far number one 30 % Of PMs that we found your start a company and that's like and number two is number is 18 % And that's intercom So that's that stat.
5:54I looked at which companies Pems that leave get immediately promoted in their next role. Palantir is number one of all companies in the world I looked at which companies PMs become the first PM at another startup that they join Palantir is number two in the world And then I looked at which companies alumni PMs become head of has a product down Then later in their career. Palantir is number three in the world Also just the company is doing extremely well. It's worth. They think something like 200 billion dollars these days So there's a lot to learn from Palantir I actually want to start a question that I imagine every employee to Palantir constantly gets That and I still don't think people totally have an answer in their head.
6:36What is what does Palantir do That's a great question. You started off with an easy one money. Um, so Palantir is the way I describe it right is they Achieve outcomes for that customers very tactically the way they do that tends to be through a data platform So they have what I consider to be the world's best data platform And I can go into what that means in a second And then there's a couple different versions of this So there's one that's optimized for Intelligence and defense use cases that one is called Gotham And then there's one that's more optimized for commercial use cases and that one's called foundry And that's kind of a classic You know explanation of what they do so they sell a data platform they typically work with very large customers Is the other things so it's going to be you know fortune 50s going to be Governments around the world.
7:24It's going to be those kinds of Customists so that's the kind of capsule answer, but there's lots of unpacking that Awesome. Okay, and we're gonna touch on a lot of this stuff including the data piece I want to start with talking about just kind of the people and the culture of Palantir You shared a bunch of really funny stories of what it's like to come to work and even even interview at Palantir There's a story shared where because maybe the co -founder you're walking by and he's chewing ice And you're and that's like some benefits of cognition Just give us a picture of what what the people are like especially early days Palantir and the culture and how unique it might seem Yeah, it's definitely it's an end of one company I don't know how else you would start start this company if you were not somebody like Peter Till Um, and so far as it it seems like you know, there was a point at which they owned The silly fraction of the office space in Palo Alto So you'd walk around Palo Alto and that would just be you know So I feel like what happened at some point is they raised a lot of money and they Resorted to all these really interesting ways of just getting top talent out of places like Stanford and other you know other top schools And just people who knew the founders who tended to be very interesting intellectual people and I feel like they screened really hard for A few a few traits in particular right so I would say one is like very independent minded people People who weren't afraid to push back who you know questioned the frame of everything and thought for themselves and had sort of strong convictions Two is just like people with broader intellectual interests, you know, carp carp just released a new book and You know, he's quoting Carbama's and all the European intellectuals and just things you don't typically see a taxi you Do and so I think there's that intellectual strand in the company and then yeah, I think three is just people who are Very intensive intensely competitive.
9:16There's a there's a sort of win -able cost mentality to the company And so I think those were the kind of Set of traits that were like this gravity well in California certain time and so you just had a lot of really fascinating people joining the company at that time The way this week for this was interesting too right so for the longest time they had Ever does this now? I think but it's like at the time it was a little bit rarer is a founder head to interview in order for you Even author and so a founder it could have been Alex Carr pick could have been Stefan Cohen earlier on and might have been somebody elected one still but it was always like one of these people um and The interviews were pretty strange So you know with with Stefan it would be you'd be chatting about it philosophy for an hour and a half and it would very much Just be like he would pick a topic out of there It was impossible to prepare for and then he would just go very very deep and Trying to settle in it so you're understanding but it would really just be a fun conversation and then you know If you pass the vibe check you'd be in and so there was that strong selection mechanism There was also the question of you know I think it's it might have until you mentioned this but he thinks that a lot of the best The recruiters in the world or like companies that attract talent they put out this kind of distinctive bad signal And it has to turn some people off that's kind of the key of a good bad signal, right?
10:37So I think in the present day Open AI ads topic they're both sucking up like some of the best talent that you and I know and I think one way They do do that and they are sincere in this but they do really attract people who are almost messiatic about potential of Artificial super intelligence, right and who really believe this is the only thing that matters and it is gonna be the biggest thing of the world I think parenthesis version of that was that You know, they were quite focused on Things like preserving the West, you know, there was a slogan of save the Shire, right? So there was they were talking about military and defense and intelligence and the important of that well before everybody else And bear in mind this was during the era when it was like social mobile local apps, right?
11:16Like you had Social media was on the rise you had you know the hot companies were like Facebook and Pinterest and things like that and so this was at the time a very strange thing And so I think to be drawn to that you had to look at the other options and say well This is fine, but what am I really doing in life, right? Whereas you had this other place that was like hey consult the hardest messiest problems in the world with us And I think just at that time that really true some really good people We're gonna talk about the thing the reasons people don't necessarily like volunteer and kind of the moral question of what they do But when people look at a company that is like like I guess open -ass to your point is a good example where they're just like so turned off by maybe their approach You're what you're missing is that's potentially intentional because at actually draws in the people they really want He makes me think about I was involved in the creating the core values that are being be and something that we Learned at going through that process is when you define the values for your company.
12:12It's really important to clarify who this is not for exactly as you described Which is feels unnatural like oh we're gonna be inclusive We don't want to make people feel like that I'm belong but the whole idea is to be clear on he hears who will thrive here And he hears who's aligned with our mission and when I'm hearing his balance yorka and these companies take it to the extreme 100 % yeah on my team at pounds the one person that we followed I could talk about this more if it's interesting is You had to when you started a new project you basically had to organize what they called a murder board for it I think this is originally an army to have right so the idea is basically you Write up kind of the two -page plan for the project you invite three or four smart folks You know who don't know anything about the project and their job is just to tear apart your plan right and so you have to write Like here's a vision for this here the goals there like tactics over the next three months and one section with principles But you're following for this project and I remember giving this advice a lot was just like when people joined They would they would write principles such as you know move fast and I would always be like Everyone likes to move fast.
13:16So it's not a good principle actually because nobody can really disagree with this You right you need something that actually a lot of people are gonna go like why you Why you think this principle this seems wrong to me. So you need something that people can disagree with I want to come back to the beginning of what you described of what they look for would balance your looks for in people You talked about independent minded A lot of interest brought interest and competitive First of all, I think a lot of people hearing that especially last far be like I don't want to work there Why does this work because this isn't yeah Naturally what you think of as how you build the most amazing productive team Yeah, I think it it just draws People who want to win right?
13:56I think that's what was really important though The other piece of it I think is that there's actually and and this was much true 10 years ago Is there was a lot of talent that was a little bit outside of the tech ecosystem But could easily have been very successful within it. So you know people who got out of the Military or one of the intelligence agencies and they were doing let's say an MBA somewhere to transition into The corporate world and I think typically they would have taken a position at a kind of classic fortune 500 corporation And actually parents are managed to get a bunch of that Talent and at the time that was very undervalued, you know the the people who succeed the most in The Marines or the special forces or whatever it is tends to be pretty smart people They tend to have accomplished very difficult goals in very hostile environments and it turns out that when you're Starting a somewhat chaotic tech company that's actually a very useful skill to have again I think you know more companies are doing this now so scale AI and hero etc But at the time that was a very differentiated talent port and so I think having those Those values as opposed to maybe the values that were more in fashion then so Talking about, you know how inclusive you are or you know the sushi that you serve at lunch or whatever it is It just drew a very different crowd and I think I think the game that was being played there was one It's it's mission alignment right like you're doing a defense company That's the kind of person you want to attract But I think there's also two which is just What is the talent that maybe is a little bit undervalued now and how do you actually draw those people to you?
15:28And I think that game is always This is definitely starting to explain why so many Palantur alumni go on to start companies and become leaders at other companies like this is These are leaders that you're hiring So it feels like a lot of it is just the talent you hire people that are naturally Leaders I think you're right And we can get words but but I think there's also there was also a very Concrete set of ways where that place was a training ground for founders I even think it turned a lot of people who might not have become founders into good founders Because of just because of the way it works So I think there was a selection effect there, but there is also Some sort of training effect to but it's kind of unique to the way the company works And is that along the lines of the forward to play engineer stuff?
16:10Or is that something else? It is that okay cool. We're gonna get to that. I love it. Okay. Amazing Before we do that the one last thing is something I've seen is that you guys at Palantur don't have really have titles Everyone's kind of the same level and just like generic titles for everyone Talk about that. Why do you think that was important? Why why was that useful? I don't know this for sure, but I do know that teal writes about this in seroton one and his take is just that as soon as you have these titles You have a thing that people are competing for and then you get these very Unproductive conflicts.
16:39You get people Optimizing to game the system you get good hearts low everywhere right? So it's like You have a metric and then people basically matter sugar metrics There's a lot of interesting I don't want to pick on anyone company, but If you take Google for example, there's a lot of interesting posts by people who left Google and they cite this as a reason why they got a little bit disgruntled Is that there's a way to get promoted Rather than like let's say improving an existing product what you do is like you start a completely new product And that has a name attached to it and then when it comes to promotions and you can say hey like I did this new thing And then boom you have a new Google product that is Is maybe confusing to the end users So I think they wanted to avoid all of these kinds of dynamics right and so the way that they did that was they said while titles are not Then maybe this sort of mimetic totem that everybody competes for instead everyone's just gonna have the same Slightly meaningless title which is for the engineer and the only people who did have titles were the CEO and then there were six directors And that was it and and now I think you know, it's a little bit more nuanced.
17:39There are different Teams there are some people with titles, but honestly it was almost like We used to joke about it right is like people would leave the company and then you'd see them update that LinkedIn and they would be like oh, yeah I was totally the SVP of you know, XYZ and it's like very you learn you just you know, but then it's like I totally understand it too Because when you leave the company you have to make your experience legible to the next person and and so guess what things like SVP Actually do matter right and so yeah, I think they didn't they wanted to avoid this kind of intel competition There are downsides to doing this right um, so Maybe the competition isn't as explicit around a specific title But instead what it becomes about is you know, there's a particular example something and you want to gain their favor And so it becomes more about like who can get in the inner circle of this person or whatever it is and there were those dynamics too I actually have a big fan of this philosophy though the the no titles one I think what it did do is that it basically said you If you are in let's say you're in a role of you're leading a very important project right which would happen What it said was it this is always fluid so you are in this role Because you're very good and so it's a meritocratic thing But if if you stop performing well, it's actually very easy to shift that because there is no explicit like I am the G app of this this Project kind of title and so you always had to kind of earn your place in the company you always had to earn The right to work on what you were working on.
19:10I think that was a good side effects Let's start talking about forward deployed engineers What is a forward deployed engineer? Yeah, so the way this originated was basically you can think of it as this two types of Engineering parents and rates so there's one that works on the core products So they don't necessarily leave the building and pull out the new York web offices They're very much working on the core products and their traditional software engineer Because of the way the company works We had these very large engagements with these large entities There was a different type of engineer which you sent into the field right so what that meant was you would spend Maybe bond it first day and you would actually go into the building where the customer worked And you would work alongside them you would literally get a desk there and so that engineer became known as a forward deployed engineer So within the company that that function is known as business development or BD and then PD is Product development so it's where the product is made and so within BD you had forward deployed engineers There are actually two types so there is one that is Sort of a more technical software engineer So you you have to pass a software engineering interview and preview chops there And you would typically have a CS degree But there was actually a type of forward deployed engineer that didn't have that so you would still You would still get sort of a technical interview But it would be less about you know, do you know the specifics of this C++ algorithm and it would be more about just like can you reason about Data and we kind of didn't have that division originally, but It turns out that there's a lot of people who are You know technical adjacent so we say who you really need Uh in the room when you're working with these large organizations with these large companies because you know Translating what you're doing into language that would resonate with an executive or being able to kind of navigate the social dynamics in a room All of these are very valuable skills and so the hiring criteria that were a little different right It was a bit more about like are you savvy as a human?
21:04Um, but you know all of that was given the title of floor and deployed engineer And it's just an engineer who works with customers Okay, so just to make this crystal clear for people because a lot of people hear this idea of Palantra having forward deployed engineers if you other companies have done this It's pretty radical so as you describe you basically have a desk at a company So you work with airbus and we'll talk about that. So let's just make it real So you have a desk and a computer and login access and all these things at airbus At your work you go to their office four times a week You're sitting there with their Employees working like side -by -side building a product for them Versus what most people do or they just talk to customers and quotes where they do an interview once in a while They do a zoom they share mocks things like that.
21:47This is like That on steroids is that roughly the the way to think about it. It is yeah and and so we would we would really be the Lot of the time and so the the side effect of that was one you learned to live and breathe the customers problems and You learn to speak their language, right? And eventually they saw you sort of as one of them And so you develop these really close bonds with the customers So airbus I would be at the Factory where the planes would produce and I or I'd be sitting next to you know people diagnosing Issues with aircraft or whatever it was Similarly later on I worked with the NIH for this part of the US government and I actually had a badge there and I would work with civil servants and biologists and clinicians and people who are working there and so it's this it's this pretty radical thing as you suggest I think the the key thing there from a business point of view right is the average kind of Deal that balance I had was right large right?
22:42It's in the many many millions of dollars Which means that you could kind of pay for this as part of the thing that the customer got and then It was sort of price according to the value that the customer got right so as a simple example like if you're airbus and you're Let's say that you have an issue with one of your planes and you need to fix it and fixing that as worth You know a hundred million dollars or something to you that's how it would be priced It would not be priced as hey you're buying data infrastructure and it's similar to snowflake or data bricks So one of these other providers.
23:12It's much more anchored to here is the outcome But then the job of the Ford deployed engine there's not just to deploy software It is not just a self -self right it is to actually solve the problem And so you would have to be there you'd have to meet the key stakeholders who are actually in charge of Reporting to the CEO about the specific issue you'd have to become their friend you have to gain that trust and You would have to in some cases create new software as such that it could actually solve the novel problem that was in front of you Right, so I would have friends who worked with You know one of our energy company Customers and they would have to learn the ins and outs of how oil wells work right and then out of that it turns out that Having streaming data is actually very valuable for this use case and so boom suddenly There's a product that can handle streaming data that becomes part of the core platform But that would be the motion is you learn about the problem you figure out what software with best address it You build that software You use it to accomplish the goal and then eventually that kind of gets folded into the broader products Sweet and so you can start to see why this would be a good forge for the fans, right?
24:17And and this was actually part of my thesis going in and joining was I said well Say I got five reps of this which I got more more than that right But it's to say you get five reps of doing this in five disparate contexts You actually become very good at this cycle of like okay go into the building gain the trust of the person meet the people that You know are gonna become your users talk to them about their problems make sure you're building something that actually solves them and You know, it's just a boot dog will get really fast feedback and iteration loops right so every week You would have like as a cadence where it's like Monday you go and you do your meetings Monday night you build something Tuesday you show it to somebody Tuesday you get the feedback Tuesday night you iterate on it when say you show it to somebody when say night you're itter I got it so you you get like four of these five of these cycles every single week And you're moving incredibly fast.
25:06So six weeks in You suddenly gone to wow this is really valuable and some of these willing to pay you whatever $20 million for it and Boo like I think this is why you get so many kind of founders coming out of this same same process It's becoming very clear why so many founders emerge to have a volunteer okay, so An important element of this as you described is that the idea here is build this as a one -off Solution to solve a real problem at say air bus or some government organization and then the ideas you Create something out of that that then volunteer consult other companies What's extra cool about that as you they pay you to solve this problem for them and then that is Funding this other product that pal and tricking out self -devere on what a cool what a cool business however early days pal and tear everyone thought it was just this services business or just Consolidance building software for companies like airbus.
25:59There's no way they can make this a platform that works for a lot of people Clearly that's what's happening and it worked out This kind of like the holy grail solve one customer's problem and then sell it to everyone else every every SaaS Business basically would love to do this What what do you think allowed them to actually achieve this and be good at this? What are some principles that That worked Yeah, that's a great question and and it's true I think that From when I join until maybe till IPO and a little bit after You know, I was told hey isn't this basically like a sparkling extension right isn't it a consulting business Kind of lapping as a product company and eventually it became undeniable one because you know I was left when people are like what does pal and do it?
26:44You can go onto YouTube and the search pal and dabbo and you'll get plenty of demos of how the software looks Not many people know about this, but you can go and sign up with a credit card right now and start using it I can have a pal and tear account you actually kind yeah, I think it's called a IP now So It's not actually that mystical and there is a product and if you look at the margins they show that right So they have like 80 % plus margins, which is not really what you would get if you were actually consulting company If you close it to 20 of us that so then your question was well, how do they actually achieve this?
27:15I think There was just Incredible talent in the product development organization Like really topped here Incredible talent and it took somebody It took some really really smart people to Take the set of internal tools that we were using at the time to create value of customers and then Go What is the unified version of this what is the thing that What would this look like if this were a product and out of that process that I saw came foundry Assume there was a similar process with Gotham a while back But basically it's like the motion was that you would go in and you know early on you were basically armed with Jupiter notebooks and some Some kind of data integration stuff, but it was very it was very primitive that you had to create value that way But you know we kept building tooling that was useful for forward deployed database So we were in first customers and at some point there was this concept of wait What if we take our internal tools and we let our customers use them and I remember at the time this is a really radical idea and then Shahn Sankar is one of his I think it's a CTO maybe he's a president now he just mandated like okay every Every cost of an appointment you have to have a customer using this within you know three months or whatever it is and so It was horrible at the time because these had been built for these you know nerdy silicon valley engineers And so they weren't particularly usable they were crash all the time you'd have to debug you know spark areas or whatever it was but basically that process brought a lot more rigor to Are thinking about the product and out of that kind of I would say three or four year Process came the foundry product and then there was a lot of focus surrounding it things like performance and Reliability and so on that was all really painful and so Yeah, I think I think the answer was just talent and then there was this recognition that we do We do know things that Most people do not know about how data Works in large organizations.
29:19That was the other thing We discovered a lot of you know put unquote secrets in this process of living with customers for so long The the basic one was just data integration is massively painful inside organizations This is very hard to understand unless you've worked in a large organization But it's actually impossible to even now to get access to a lot of your own internal beta that you need to do your job right so Your history is of people being like I'm trying to calculate ourselves this quarter and I had to wait six weeks for some other analytics team to get me this Deliverable right and so just the the knowing problems like that and being able to focus our Product efforts around those problems met that we were able to build something generalizable there Okay, there's a lot here first of all you talk about Gotham and Foundry I know that we'll link to videos of people checking these out But just what's the simplest way to understand what these two products do?
30:10Yep, so Gotham is up to most for military and defense use cases and in tellers world I would say they both have some things in common right so they both have Describe this almost as a pyramid where the bottom layer is data Investra the middle layer is data mapping and then the top layer is anything that's used a face thing so any UI component right and then If you think of Foundry for a second, right There's there's different tools that allow you to invest data to it There's different tools that allow you to easily build data pipelines and clean up data which everybody has to do and then there's a bunch of tooling that allows you to build Compiling UIs on top do point and click analytics do you know notebook style workflows whichever kind of power And so that's what I mean when it's a platform.
30:54It's a suite of things that Has kind of a common data backing but contains a bunch of different applications And so I think that is somewhat true of Gotham as well But you kind of when you log in you see this unified interface right um So what is the actual difference then I would say with Gotham you're looking much more at workflows like dead involve maps for example Right, so when you're doing a military operation like a lot of the time you're going to be looking at a map And you are going to be monitoring you know the movement of troops or tags or whatever it is Another big difference is the idea of graph based analysis so Gotham one of the kind of early use cases right was finding Coming through networks of terrorists and basically finding the bad guys and so being able to do Queries that are sort of graph based was important right so it's like who is everybody that Lenny called in the last week Imagine like all the nodes kind of fanning out from there and then it's like okay Well, this one looks interesting.
31:52Let's zoom in on that. What is this person's you know location right and it's just like very graph -based Thinking that also applies to things like fraud and so Gotham has been deployed against fraud but If you look at foundry it doesn't actually emphasize that component so much because it turns out you know Let's say you're a B2B SAS company. You're probably not doing that was graph based analysis You're doing things that look a lot more like Classic SQL queries tables that kind of stuff and say foundry's a lot more kind of traditional in that way That was an amazing explanation. I for the first time I I'm starting to understand with these products to Basically, it's just succs in a bunch of data Cleanse it up so you can actually trust it and then helps you interact with it in various use cases maps graphs tables Yes, okay amazing The example you gave of what you worked on it or bus you just grab it as basically a sauna for making planes Is that right?
32:44Yes, yes, so how much of that does become becomes like a part of this core product versus stays this one off thing Like is it elements? Oh, that's a cool innovation. Let's put that into foundry. How does that work? This was a really interesting story actually The so the initial problem that we came into with Abbas was that they had a new aircraft called the a 350 Beautiful aircraft by the way if you got to I think if you fly New York to Singapore It's often an air three a 350 really nice And so it was really relatively new aircraft at the time and their mandate to us was okay We need to ramp up production of this really fast much faster than we've ever done it before So it's like the numbers are very approximate right, but it's like okay We're producing for this month.
33:25We need to do eight the next month sixteen a month after and so forth And you're gonna help us do it And so this goes back to what I was saying earlier is the mandate wasn't like hey, we need to upgrade our data infrastructure We thought you guys would be met met the list of requirements It was much more just like please help us accomplish this mission This is like the big thing and so we went in It's got out the problem There are a bunch of different things that we could build that Helped accelerate this, but one of the basic problems that we figured out was that Without getting too much into the weeds the way the factory would work is that there's a bunch of stations And you can think of the the plane is literally moving between each station And then each station would do a certain set of work on it right so Initially, it's literally like a big fuselage and the fuselage is sitting there and then People are doing a bunch of work orders against it They need parts in order to do that work and then at some point they say okay This is ready to move to station 31 and the plane is physically moved to the next station and then station 31 does It's next thing so in order for the next station to do its work properly They need to know one like what work was done at the previous station and what work is remaining Two is just like if you think about this problem like not all work is going to get done on time and so things Kind of um carry over right To the next team and the next team then has to kind of like And so when I'm describing this problem to you you can kind of start to visualize like okay Maybe I need some sort of ganchard to this and I get the ability to click and and say okay What it actually what did station 30 do and what what work orders remain undone and then it's like okay for those work orders What parts do I need and where the factory might they be and so This was very very hard to do as it is a lot of it was just relying on People going and having conversations without the people on the factory floor and you know coming from tech where It's maybe not as complicated as building aircraft that is a phenomenally complicated process But it is easy to see like okay, you can actually improve this problem that software right they also All that data was stored in SAP and you know SAP is like established software It's good at what it does but it's not the most user -friendly necessarily Especially if you're not an expert in how it stores data the table names are very hard to understand and read And so one of the things we figured out was just if you can pull in these Tables that may as well be written in completely alien language like the the table name would just be like s3 f1 Underscore z or something like that right and you'd have to know like okay This is the table whether part IDs store or something If you could pull in those tables and Join them in the right ways and then just map them to human concepts that humans can understand So things like a part a work order and aircraft etc And basically build a kind of hierarchy or mapping between them Then what you can do is for a user a user can just log in and say okay aircraft 79 where is that okay to station 31 all right is the work orders etc and right and so you've translated it into a more human Legible thing and so the thing we built I mean, I kind of slightly flippantly described it as a sauna.
36:21It's a lot of different But basically that's what it did was it gave you a unified view of okay This is what's going on inside the factory This is the work that needs to be done in this particular plane and then me today going to my job at station 31 What work orders do I need to fulfill and where are the parts that I need to do that and so This directly become a part of foundry not exactly because you know the way that other Companies work is not going to be using this same set of concepts but the overall idea of taking a bunch of tables and then mapping them to human understandable concepts was a very powerful one And so this actually resulted in a big piece of foundry now which they call ontology You probably heard this you know tongue as you've seen if you see Palantin presentations They always talk about ontology This is what they actually mean by that is it is a set of concepts that is Understandable to you as a human and you're not having to go and dig around and do SQL queries You're just able to say like where is the aircraft now and where is it going next right and so The ontology became a huge piece of foundry It was directly informed by the learnings that we had from building that application inside that factory And I would say it's still a very big Differentiated today like I don't think too many other companies ship this kind of stuff yet Wow, I love how excited you still are about this because I could see it being so fulfilling to solve this big problem I saw a stat that I think you forex their productivity.
37:49What was the number there? It was yeah, I don't call the exact stat but we did ramp up production I think at least forex that one year which I mean obviously they did this and we just helped with it But you know that's a year said that we played a critical part so also you moved to France I think for this that was like how forward deployed you were you lived in France for how long? Yeah, I lived in France for about a year and a half The way they built their planes is they manufactured different components around Europe So they build you know the tail in Spain and if he's large in Part of the UK and Germany and so forth right and so they basically ship everything to France to be assembled at the end Which you can imagine this is a very messy process and so I was mostly in France But there would be weeks where I'd have to kind of fly between all these countries just to kind of figure out what things were In your poster wrote about how just the life of forward deployed engineer is pretty crazy You just get a call sometimes like hey, you're flying to this random country tomorrow get get ready Is that just life as a forward deployed engineer?
38:50It is yeah the company had a very I would say aggressive attitude towards travel in the sense of when you join you were basically told look You have to be okay with travel are you okay with that right and the attitude which again, I think is a very founder friendly one is You need to be willing to just jump on a plane that night if that's the best thing to do for this customer And if it's gonna get us to where it's to be to end and so There are many times when it would be like oh, I need to take this cross continental flight tomorrow For this particular thing Because it will be it will be useful right and so I think that's one of the kind of takeaways for me was just like being a person Is so so so valuable when you are working with some external party Just going there for a for a few days and spending time with them maybe going out for dinner You built so much more trust than if you're trying to close a customer over zoom or do an engagement over zoom It's just the virus completely different and so yeah getting on a plane was a really cool part of our job for a very long time This obviously changed around 2020 because COVID happened the company IPO And so then it just be a bit more in -tumble controls around this but I would say pre -2020 This is like a very big part of the culture I'm excited to have Andrew Lueau joining us today Andrew is CEO of one schema one of our longtime podcast sponsors welcome Andrew Thanks for having me Lenny great to be here So what is new with one schema?
40:14I know that you work with some of my favorite companies like ramp and vanta and watershed I heard you guys launched a new data intake product that automates the hours of manual work that team spent importing and mapping and Integrating CSV and Excel files Yes, so we just launched the 2 .0 of one schema file feeds We've rebuilt it from the ground up with AI We saw so many customers coming to us with teams of data engineers that struggled with the manual work required to clean messy spreadsheets File feeds 2 .0 allows non technical teams to automate the process of transforming CSV and Excel files with just a simple prompt We support all the trickiest file integrations SFTP s3 and even email I can tell you that if my team had to build integrations like this How nice would it be to take this off our roadmap and instead use something like one schema Absolutely Lenny.
41:04We've heard so many horror stories of outages from even just a single bad record in transactions Employee files purchase orders you name it debugging these issues is often like finding a needle in the haystack One schema stops any bad data from entering your system and automatically validates your files Generating error reports with the exact issues in all bad files I know that importing incorrect data can cause all kinds of pain for your customers and quickly lose their trust Andrew thank you so much for joining me If you want to learn more head on over to once schema dot co that's once schema dot c o There's a lot of founders listening to this and a question that I'm thinking and they're probably thinking and there's kind of two questions here One is just when to go like how hard core to go Potentially with their own forward deployed sort of operation and then two is just how And a company I know is actually doing this How far to go with one companies problem and invest and just like we're gonna nail solving this one customers problem With the hope that this is something we can abstract and sell as a big platform So me actually when we start there and you're you know, you're building a company Any just I guess insights or advice and just how far to go down this road of we will solve customer ones problem And we bet that this is going to be a big opportunity for a lot of other companies So I would say on the on the forward deployed piece My friend Barry MacCardel who's the CEO of hex the analytics company He wrote a really good post about this actually and his take was just like you probably don't need forward deployed engineers It's very specific But I think basically the the thing there is you have to be willing to be quite almost wasteful Like you have to be willing to invest a lot in Finding the thing and for that you just need a certain ticket size right so you need each customer's revenue to be probably in the billions of dollars If it's below that you're probably not looking at a traditional forward deployed And Janelle motion it's something a little bit different and so you know I think one thesis that a lot of people left Palincy where they started companies around was there's a lot of a lot of customers that Palincy weren't served because You know, maybe that's who small a ticket size and so actually you could go and Do something like Palincy for those companies But instead of charging them five million dollars you're charging them 250k here And so it's an order like that you might still have forward deployed engineers But they're not really they're not going to France and spending five days a week in a factory It's more like you'll have one person and they're looking after you know five different customer accounts It's more of that ratio in order to make the numbers work and so I think a lot of the principles can be um Can be abstracted from that experience, but it is a really specific sales motion that depends on a specific way of doing business um, I think to your other question Yeah, I think there's it's it's obviously one something that is very hard to give a general answer to My main thing here is just that you can definitely tell when you are just doing consulting and when you are Closer to building a product and I think the error that people make more often than not as they are actually to stuck on Their own product division.
44:14That's the mistake. I've seen a little bit more actually than the other way around right so if you if you go to um I'm trying to give an example if you go to an enterprise customer and let's say you you think you're being out of Lidic software and it turns out they don't actually care about internal analytics this much They actually have this other massive burning problem and they don't have a good solution to it Yeah, I think a lot of people are unwilling to go and pivot to the big problem because They're like while we're out of the league software and so maybe this customer is a fit for our thing And maybe that's the right call in some scenarios that is the right call and you should go find a different customer Where you'll think resonates more in other scenarios is actually the right call to pivot and go and just put everything on that big problem instead and then go and find other customers for that thing There's no hard and fast rule.
44:58I remember reading a really interesting post by I think it was David Sue from retool who Had this exact thing and I think he worked at Palinzo for a while too And and he said that they had the retool product and it wasn't getting any traction at all And then he tried an outbound email campaign where he literally just changed the subject line to Build internal tools easily and then suddenly they started getting all these replies from CTOs who were just like oh, yeah, this is actually a huge pain point for me But the exact same solution they were previously kind of framing it as I think it was like supercharged Excel or something like that and nobody was biting Um, it's so they just changed the way they framed it found a different set of buyers and succeeded that way So yeah, no hard and fast rule But I think it's always you need to kind of have this matrix of Options in your mind and be very deliberate about Which one you are going with and why I think your piece of advice is really important there of Usually in your experience, you're saying people index too far too Like no, what they're asking me to do is not kind of what I think they need or what customers will need You're saying it's actually more likely they're right And that's maybe where you should be focusing more versus this kind of abstract vision and original idea you had I think so yeah, I think it's very hard to Not be encouraged to your own experience and your conceptions as a problem and One thing I've seen in really strong founders is they're able to sort of drop a bunch of those assumptions and almost treat Something a new opportunity as a completely black slate and then just figure out how to reshape things so that it's taking advantage of that And that's how you don't get stuck at a local maximum Your other piece of advice is also really great So people here this and are like we don't we can't afford an engineer to sit at or One customer prospect office and build stuff for them But your point is you can have one for five different customers They're not there full time they kind of bounce around but they're kind of it's almost like sales engineering just like What you call it sparkling sales or they help make it successful I know lookers a famous example they think they called them forward deployed engineers Do you know any other companies by the way that did some version of forward deployed engineers?
47:06There's a lot. I mean, I know that the a. R. Lops are hiring forward deployed engineers now that building For the politage and airing teams and you know they could make it work right but I think there's going to be Key differences Right like I don't see anthropic going into an enterprise customer and building some entirely from scrap solution for them It's going to be something that leverages the anthropics out of products so There's a lot of companies that have this label now, but I think what's really confusing about it. It's just that it Means a few different things There's another place by Ted Maybury who's I think the head of commercial at Palinco and that's a very good one too Pointless those two So say someone was uh, I want to try this sort of thing in my company and What would be like if you pull a point of things they should get right?
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47:54You're describing kind of the spectrum of people what people describe as forward deployed engineers if they were to try to do this What do you think they need a most to correctly for it to be successful? The key things that made our model work were one um, they were actually Real engineers who could build product themselves that's a very big difference right I think a lot of the time companies will say this person's a forward deployed engineer But actually then mostly that to be more of a solutions architect or they're not necessarily building anything to know though they're just listening and Trying to find a way of deploying the existing product that are not Empowered to do new product and so the really radical thing palinco said was no like go in and If you need a completely new product to do this you can go ahead and build it And and I think that's really the key difference the other stuff You know, I've already mentioned the value of being in person and I think building close Personal bonds with your customers.
48:51I do think the better founders do this anyway, right? Like they're on texting terms with That buyers they become friends with them outside of work and they see them as humans for their trying to help I think that's very motivating gaining a really deep understanding of the business that your Your customers are in and knowing how those dynamics work. So you know, a simple example might be You know like say hospitals in America, right? Like I think if you if you go into it It's very counterintuitive to think of a hospital as a business People think of it as you know, it's it's a place where you get healthcare right but actually like If you kind of view it the way a CEO or a CMO views it It's going to look very very different to you as a very simple example Sorry, this is a little bit dark, but you know how kind of restaurants Want to turn over tables as fast as possible in order to kind of maximize their revenue for the day Hospitals actually kind of want to do the same patience, right?
49:46They would like to treat you and then get you out of a bed so they can free up the bed to get a new person in there And so that's not super intuitive unless you kind of think hard about how the revenue for that hospital works But then once you think about it You're like oh this has a bunch of problems associated with it, right? And you start to go in really interesting directions So there's just like the words and memes and take you a long way working. Yes, and understanding it Okay, so essentially things you want to get right make sure it's in person Make sure the person is technical make sure they have a deep understanding of the business and the problems they're having The technical piece is interesting with AI tools these days making everyone technical in some sense You could argue this is going to become more common people Can just you know open up cursor windsurf and just start adding features I think this is a really interesting thesis you've just hit on and I expect to see a lot more startups that take advantage of that insight Basically makes for deploying engineers cheaper exactly What is the current state of forward deploy engineers at PoundTair?
50:45How much is the change of the past few years like if you join now or is this still something you can do? Yeah, of course, I mean, I should I should obviously emphasize that one I left the company in 2023 And so this is just my personal view and it speaks to them. I think that You know if you think about it right the the thing that one of the kind of metrics that the company had to measure its own success was Essentially revenue per Engineer right and so the more kind of quote unquote product leverage you had the higher that number was So if you had to throw a lot of people at every you marginal problem Then you weren't doing so well at that because you're basically building a new thing every single time and you are in a factor consulting business If on the other hand every time you encounter a new customer the product turns out to be kind of relevant to them Then then great and so this product leverage metric was actually a very unique Thing and kind of a north star for the company for the whole time I was there If you reason that out what that means is that in the early stage of the company you will have Hey customer and then you might have five to ten Engineers working at that customer right and so over time you want that ratio So you want it to be you know each customer because the product is so powerful Maybe AI coding's got a lot better each customer you only need two people And then maybe you actually get to a point where you can't have one person looking after multiple customers And I think that's how the job has changed is now it's a little bit more about You have multiple customers maybe you're spending less like deep time with each individual one of them But it's a lot clearer what problem you're solving across multiple customers and you have more of a kind of defined offering And so I do think that has been a bit of a change but The company remains a very interesting and dynamic place to be like in some sense the stories early starting right because One one lens through which you can view this company is they spent 20 years basically building The mother of all data foundations for every important institution world and Guess what's very valuable now that AI models are out is proprietary data that isn't public Suddenly you have access to that and you are in a very privileged position to Help your customers deploy AI in a way that makes them successful and that solves real business problems That is essentially the bull thesis for this company and why it's probably gonna you know Hundred X again, right?
53:06And so it's still a really interesting time to join but I do think the the kind of nature of the Ratio of people to customer for example is one big difference now Not investment advice, but it might 100x That's uh, I totally understand why that might happen. So let's talk about the data piece You said that this might this was one of the secrets of balance your success. There's early insight into the the power of ingesting data cleaning data being able to Analyze and work with it What what i'm working share there just like what they figured out about why this is so valuable white so hard and how they achieved it I think it's just very obvious as soon as you step into a corporation and spend a couple of days there right as you're like all right Like let's suppose your job is to Increase sales okay, so the first thing you want to do is get a clip picture of what's going on all right So like let me go and query the sales database.
53:55Oh wait, where is the sales database? I can't get access to this Okay, I need to file an access ticket all right now. I have to wait one week right it's so every everywhere we went This was the big paint point was we have to wait six a weeks just to get data access and then when you do get data access It's not like the data isn't easily queryable format you actually really have to know what you're doing in order to get the right Metrics out and so on and so forth and so it turned out like okay It's this iceberg analogy where the actual analysis is Actually, just the tip of the iceberg is kind of the last five or 10 percent and the 95 percent before that is I am gaining access to the data.
54:35I am cleaning the data I'm joining the data and normalizing it putting it all the same format and so Once once we spotted that then it's like okay. There's actually a lot of product to be built there just to make that process easier This is one way I think pound it does people don't think of Palantir is this Place where innovative new products and UX ideas come out But I actually think it's been one of the most generative companies for that specifically in the last 20 years It's just that most of that didn't see the light of day and so people don't know but if you look at the The product primitives that they Developed in order to make the things I just mentioned a lot easier.
55:13They're actually really valuable and interesting and could probably form the base of first of Independent companies themselves and so yeah like It just took like every single step of that process Became much much easier once there was a software solution around it right? So if you talk about data industry and there's essentially a kind of universal data adaptor that's part of foundry It can read anything so JDBC s3 buckets whatever you want and it can pull that it can it allows you to kind of look into the data Maybe preview the first 20 rows and then it allows you when you're ready to set up a schedule and just pull it in on some cadence That process alone for an engineer it's like used to take a long time especially pre -vibe coding and and managing all those Crown jobs and doing the son of Linux VM somewhere inside the customers Tannin was a huge pain, right?
56:04And so you productize that piece then it's like okay once you have the data It's like how do you actually join it? What if your non -technical is there like a is there a way for a non -technical usage to be able to Join tables and see what the result is and so there's all these like very fascinating Business problems that because I think the access was very difficult to get and people hadn't really solved before and so There was a lot of white space to do some product innovation So now I would say foundry is definitely the best data platform in the world just because it has all these different Applications within it that solve these discrete parts and it's just it came out of this years of painful experience Watching people have to Clean data and join it and figure out what this table name meant and so on and so forth You shared in your post this kind of a vocative story of some people jobs is just kind of gatekeep the data Like they're there to help you to give you access to this very valuable data within the organization And how hard it is to get like that was a lot of this work is just breaking through those political Battles of like okay, we need this data for the good of the company and took a lot of work I guess anything there you want to add it is Yeah, I mean, it's it's a it's a huge pain and there are good reasons for it right like it's not like folks and malicious here It's it's if you're IT or if you're an infosite type person then your goal is to prevent data breaches and to make sure that sensitive information Doesn't spread too wide and so what's the easiest way to do that is to lock with data down You know, basically be a gatekeeper for access, right?
57:34I think where I got a little bit more interesting was Where your skills are valuable and depend on you think the gatekeeper so what I mean by that is like let's say I'm the guy who I'm the only guy who understands the The way the sales calculation pipeline works, right? And I write this equal for it all the requests from business SME has come to me I have a big queue of them it takes me weeks to get through this queue. I have a great job. I have great job security Um and people depend on me right and so now along comes this company and they're like hey, actually We want to make sales data available to everyone and we want to make a point and click suddenly you're like hey like hang on Uh, what am I going to do right and so that's where I think there was a lot of Difficulty and and I always say like you know people are like what a pountess competitors I don't think it's the ones you think of necessarily pountess biggest competitor is a company rolling its own solution Right and so the biggest difference would just be a CSE a CIO saying I'm going to build my own data infrastructure.
58:37I'm going to own it It's going to be on top of one of the hyperscalers and we're all just going to do our own analytics ourselves And what we came along with is just quite disruptive to this model was saying no actually All your data is going to get ingested into this one platform and everybody new company is going to use it The tradeoff is it's going to be really really easy for everyone to do things But as you can imagine some people weren't a huge part of that model Feels like Glean is the biggest competitors to balance here after I hear this You know about that company. I think yeah Glean is Glean looks amazing from the outside I mean, you know, so many so many differences there.
59:11I can totally see why you would stay this But clearly a different use case, but uh, it feels like the reason they've been successful is they figured out a lot of this data ingestion permissions Search stuff and it would be better that way Interesting. Okay, I want to talk about hiring you talked a bit about this you're starting a company again What are some of the kind of the key lessons you've learned from your time and balance here when you are hiring people for your company I don't know if you're actually hiring people yet. Maybe when you may start hiring. Yeah, we have We have six people at the moment.
59:45So it's a really recently small team You know, I think With hiring it's funny man like there's so much hiring advice on light and you read it and you're like yeah This is super obvious and then when you live it you're suddenly like This is why people say this right so a few simple examples are I think the thing that is really hard to find is somebody who really really has A lot about doing the thing and Will go that kind of extra 20 % like I think I think when you hire out of especially not to pick on them But I think if you hire out of fan and great. It's like people People want like a 400k a job.
1:00:22They would like to work a certain number of hours They would like to ship some code and they go home like that's basically the bottle that you get accustomed to Even if you don't intend to when you work at a big company And so if you hire out of that for a really small startup it can be really challenging because A lot of your success as a startup depends on each individual person being like no I'm really gonna I'm gonna work this evening if that's what it takes to get this thing working and I'm not just gonna check My boxes. I'm actually gonna look towards what is the real outcome that this business is trying to achieve and Everything I'm saying is feels kind of obvious But when you actually feel that difference between somebody who's just checking the boxes and somebody who's kind of an animal in this way Like they'll actually go and pursue and accomplish the end outcome that that difference is very very big and it matters so much for your first 20 people Right and there's no science to finding these people It's not like you can just put like somebody who cares about outcomes in your JD and then suddenly you'll get all these people applying And so then it's like okay, well How do you screen for that and how do you find these types of people and so That's where it gets really interesting.
1:01:26I think that's where the mission alignment comes in and so you do have to find people to For what you're doing Have this extra Maybe private reason to care about it a little bit more than the average person, right? So I think for Palinso they did hire a lot of Fets for example, or maybe people who were a little bit more patriotic or pro -America than the average employee and that those people had an extra reason to join palinso and an extra reason to try that little bit harder And so you know what I'm doing is a little bit more in the kind of medical and health space and so I think people who Have themselves had experiences with this system Have maybe had relatives, you know go through difficult experiences with things like cancer or whatever it is They're just that extra bit motivated to really care about the thing you're trying to do and then work that little bit harder And so I think aggressively filtering early on to things like mission fit How much are you cared about stuff in the past and what's an example?
1:02:28You know you ask questions like what's the hardest you've ever worked to get something done and why right and that like Does differentiate a lot of people a lot of people don't actually have a great answer to that so I would say that's been A really big learning because it's less about testing for the right skills. Yes, that's important too It's much more about just like who has that extra 20 % That is really interesting as you just said it's what everything you've shared is essentially around motivation and drive and passion and kind of just like commitment to working on this Intently and you almost like let's almost like a second thought of just like also.
1:03:01They're like really smart and skilled at stuff Like it feels like that's just table stakes and this is actually what makes the difference in your experience Yeah, I totally agree and I think it's different for every business right so I think if you're in a space like B2B SaaS where Maybe it's a little harder to tell the story of like oh, this is so mission critical like whatever There are other ways of getting at this thing right so for example I know I know a lot of people again. It's a little played out now, but um I know a lot of people who for sales teams they will express that you go for people who are professional athletes or played sports in college right and it's like okay, what does that test for it's like you are very very disciplined You're very very goals and numbers oriented and you're willing to just work really really hard And so there's all these kind of lateral ways of getting at these Quiles who said I think you just have to be kind of intentional about as As a founder like as a personal example.
1:03:49I'm a runner and so I actually love meeting fellow runners And I always like to I kind of jump like oh maybe I'll go higher from like run clubs or something like that But it's just like same with you know, I play a lot of chess like I love I love meeting chess players I'm not necessarily saying that's the right kind of higher for me But I think having this This thing of here are some traits that seem uncorrelated but which actually give you Good signal to this person's personality. Those are actually really important the last thing I'll say just as a funny illustration of that concept is Uh, I think Max left in tell us the story of somebody interviewing at PayPal early on and he passed all the Interviews and then it just got to the final round and he said something about liking to shoot Like he liked to play basketball and they were like instant reject And it was just like The bite here was just like if you're not like a mega you know Linux Hardcore computer person that we don't want you here You and if you actually passed all the tests just because you like to shoot the hoops now whether that was the right call or the wrong call I don't know but That's an example over when I talking about I think that's like a great echo back like people hearing this Maybe like what the hell how that's like how like how dare they do that But this is exactly what you said at the beginning of our conversation that If you're trying like an approach to building a generational business is to be very Clear about who this is not for and that's okay.
1:05:11It's your company Not everyone needs to work there and it's almost saving them time because they may they might realize this isn't for me This isn't the people I want to be around necessarily So I think it's important to see that side of it is like you it's your business It's important to be clear about who is a good fit for the company and who's not Speaking that I'll let's talk about product management for a bit. I know Palantir PMs are like not very not traditional product managers Uh, what what is like did I imagine people have the title product manager a Palantir? Okay, so if so what As far as you understand how what's the difference between say a PM at Palantir versus a traditional PM say at a thing company Palantir was As far as I remember quite anti -PF for a while and eventually we did need them because we just got more serious about Classic story classic story classic Companies the big difference or one big difference I noticed was that they were extremely Careful about only making people PMs who had first proven themselves out as forward the point engineers You basically could not become a PM any other way so As an example the When I mentioned earlier the the thing that we built for the plain factory The person who was managing that deployment she later became the PM for ontology And it was just because she'd kind of proven her metal in the field and you know the reason for that's pretty simple right It's going to be someone who Understand who how customers work has that customer ability and it's going to be someone who Has this drive to get things done because that's what be decided for I think the failure mode that they were very very Of us to in in traditional pms was this kind of Google docs syndrome of like okay.
1:06:54I'm gonna write my Product requirement documents and I'm gonna kind of manage it in this like very sort of sane rational way I think So the company was really rigorous about that and so basically pms were almost always Internal promotions and they always came from From BD it was not like I'm not aware of a single case where we took somebody who was a PM at a place like Google Which produces many excellent pms and hide them successfully into balance. They're just a very different vibe So I think that was one thing, you know This is this is maybe more of a classic PM trait right, but you just had to be either an engineer yourself or extremely good at working with engineers And the ones I saw who succeeded the most were just best friends with their engineering team right and the team would always just be like one You know it was called a group of PM and then it would be a lot of very very good engineers and basically the success Ophelia mode was just like do the engineers like and thrust you and I mentioned before like pounds It has very kind of almost disagreeable personalities and so If you didn't gain the trust of engineering team pretty fast you didn't last very long I think we've cracked the problem the the question of why are pounds your PM so successful First of all the hiring bar is just like basically hiring for leaders in a lot of different ways to This like at an afforge for founders where they're working with a company solving a real problem building a real product that makes money And then those are the people that become the pms that balance here and then they go on to leave and that's why 30 % of them end up starting companies I'm surprised it's not higher Or become first PMs that other companies are heads of product Yeah, absolutely.
1:08:29I mean, it's it's crazy. I was part of a pretty small team within pounder I think it was 20 to 25 people and I joined and I think at least six of them now all Either in unicorn or just pre -unicorn founders from from that like group of 25 people Which is actually a crazy ratio and then a bunch more of become founders recently at an earlier stage So yeah, there's all these little pockets of excellence and It's been really interesting to see I think the other thing that's driving that a little bit is you know when you leave It's just such an interesting company to work at that You know, I think the retention numbers are actually very high for that company like people would often stay A lot longer than maybe the average average valley tenure and um, so when you left it was really this decision of just like Something very specific is pulling you and you want to kind of play the next level of the game And so it was very unusual for someone to leave and then join maybe a more traditional tech company It's sort of like you're either gonna go become a founder or Why would you leave when there's so many interesting different things to work on here?
1:09:31And I know that sounds a little culty, but that's just that's what everyone thinks And you could totally see that a lot of people that left there being beef never found something more Yeah, it's just hard especially if you're early There's a stat that I didn't share that I think is really interesting And when you look at YC founders and they're where they've come from I think you may be shared in this in your post that There's more YC X -palentiary founders than there are X -Google founders In spite of Google being something like 50 times bigger sample size Yeah, yeah Let's talk about the the moral question of Palantir a lot of people Probably seeing the title of this episode hearing this or will not be excited about Palantir being Highlighted and promoted a lot of people kind of disagree with what Palantir's doing You know builds products that kill people in some ways they work with governments.
1:10:20They don't agree with I know you wrote a really insightful Way of of how you approach this question when you decided to work at Palantir and how you see people tackle with this You just talk about the kind of the framework that you landed on how you thought about this yourself Yeah, it's a really interesting topic. It's definitely very nuanced I think what I was trying to say in that post was a couple of things one was that there was a lot of upside that right? So you know, I worked on the US Co -Peterspans I've friends who You know worked on Operation Warp Speed and you know These are all things that I think saved a lot of lives and I was pretty focused while I was working at an age Cancer research and so to me these were just obviously good things and you couldn't do them anywhere else and so that was a load reasons to say The the question I had in that post was well, okay There are definitely going to be other pieces of this that people object to right so during the kind of 2016 to 2020 era It became a pretty common thing to go into work in New York and you'd have people protesting outside your office or you know Doing all kinds of things and so There was this question of well is this okay And I think the point I was trying to make was I don't think that it's rather disengagement is the correct answer And I think it's more recognized now, but especially then it went a bit too far right so The famous example here is Google kind of disengaging with a Pentagon AI project just because some people felt that working with a Pentagon was itself morally bad I think that's way to sort of the left of what the median American would say I think the median Americans say it's fine to work on defense stuff You know within within reason and assuming you're doing largely good things And so There was just this kind of almost arbitrage there at some point of just like hang on like it's not like working on defenses inherently evil It's actually a pretty interesting thing and then there's this question of well Would you rather be in the room and making this that sort of not right?
1:12:22And so And struggling with how much I can share him but like as a simple example If you're doing even a workflow, which I think many people would not be super comfortable with like let's say you're targeting somebody for some kind of strike If you compare what the way it's done now to maybe the way it was done in 2010 It's good to be a lot more targeted. It's gonna be a lot more accurate And so you've actually improved that process and reduced the chance of error Maybe you should feel good about that right now that is a bullet many people are not willing to buy I didn't work on the defense side of the company myself, but I think I think you have to be okay with These kinds of great zones and and actually actively thinking about what you are doing and That doesn't mean that it's always the right thing to do to work on a defense company, right?
1:13:09Maybe we go into a very dark future We start being the bad guys in some ways and then it's probably not a great idea to work on a defense company, right? So it's a shifting landscape But I think I kind of felt pretty strongly that a lot of people in tech Just didn't want to think about this at all right, so like you have engineers now who are working on optimizing short form videos for higher engagement and You sort of want to say to them like hey are you thinking about what this is doing to the brains of young children or Have you seen you know and eleven year old kind of scrolling something for five hours?
1:13:46And do you think this is a good thing? I think people don't want to think about this stuff too much I'm not saying I know the answer, but there was almost this refusal to look at what Tech was doing From a political lens for a very long time. It was just like hey Let us play with our toys. Let us sit in Manlo Park and like don't bother us and we're just gonna build cool stuff and watch it and 2025 we're in a very very different state of the world, right? You know tech is involved in politics now and Politics basically came to tech right there's this famous image of Mark Zuckerberg sitting in Congress and you kind of looks very pale and He's like why why if they dragged me in here again, right?
1:14:25But I think I think tech went through this journey of Oh, we're suddenly becoming important now. Oh, we're really really important now Oh, we better stop playing this game of politics and so I think what I'm saying now is a lot more consensus that it was 10 years ago, but at the time the feeling was just like look what we are doing is political So you better engage with that I think when this became really real for a lot of people is with the crane war Like the government's running out of certain vehicles and ammunition We're just like not able to produce it and then we're like oh thank god for company like androel and all these other Tech companies that are actually ahead and keeping us ahead like I think the only reason the US is ahead of the Of China and the space race is because space x just was one company that just was been doing this for a long time So I think a lot of people have kind of realized okay.
1:15:11Maybe maybe we need these things Right yeah, and I would make this argument as well as like people are like well, you know How can you feel good about working in defense? And it's like well you're not gonna feel great if China debates I won't actually you're not gonna I think you're probably also not gonna like that outcome so We do just live in this world where you do need to build up deterrence to these things and they better be good So to me it didn't feel That difficult of a question. I think when you zoom into particular things They can be very difficult questions and there have been a bunch of those in the last book is but yeah, again disengagement isn't the answer Yeah, and again, it's not for everyone.
1:15:48I think that's an important kind of theme through this conversation is some companies like to build sometimes to build a generational really successful companies to you need to turn some people off because That's what brings in the best talent oftentimes Okay, just a few more questions Kind of like stepping back a little bit You're building a company again. What are what are kind of like a few core pieces of advice that you're bringing to your new startup that will inform how you build this company from your experience of balance here We talked about a lot of stuff Is there anything? I don't know if there are like three things that you think are like I'm definitely gonna do these things this way because it worked really well a balance here One thing is probably just really fast iteration cycles so placing a lot of bets and then Being really rigorous about just going through that cycle very soon I have this I just thought of principles of one of the things on there is basically saying like your peace successes Goes up the wall bets you make and it's sort of a function of how many bets you make the probability of success Those in the job that's right and so one easy way to almost guarantee that you'll hit something is just to make a lot of bets And then just kind of like cycle through them very quickly now obviously this is Difficult this often this question of well.
1:17:04It's just bet actually failing or like are we quitting too soon kind of thing But it's that's kind of one principle I take is just Test this thing very early, you know like the classic white feed white thing is just When you take something to a customer ask them to pay you a lot of money if they know then Find a new problem like don't wait three weeks, which is what every founding team typically does because you don't have that kind of time I do think the importance of just like having a really tight distinctive internal culture and Building a strong feeling of trust within a team is really important and and kind of like you mentioned with Airbnb And you know people people definitely felt there's a pound there.
1:17:48There was this Feeling of like while you work there you must be good. I trust you and all of that and I think it's so important to Create that and you kind of know that feeling. That's what like people ask me, you know Should I go work at place? I asked or should I just go be a founder straight away? I don't know the answer for everyone But I will say one of the benefits of working at a place like that is you just have all these Internal benchmarks now for okay. This is what this should feel like and if it doesn't feel like that We're off and I can't imagine not having those benchmarks and just kind of having to Figure it out.
1:18:21See, I think that think too is just like distinctive internal strong Team culture Um, and then I think I think for me think three is just like working with a really messy Um part of the real world So you know, I kind of joke when I left like uh I'm excited to just do pure software. I'm excited to I don't know. I want to build an IDE or something and just like Not have a support email you and all of that but It turned out like my look my comparative advantage in a lot of ways was You know the networks I built and the experience I'd had and engaging with the messy parts of the world and They do need technology a lot right like there is this There's this horrifying thought I have sometimes of just like maybe we'll get a ti in the next two years And you know the health care sector will still be broken and it will still be impossible to afford rent in New York City and build houses and all these things Uh, and that may well become true And so I think it's important to engage with those parts of the world too even though they're really really Challenging and I think the really nice thing about LLM says that actually Uh, there's so many work for us now that are accessible to you as a tech founder and people are somehow more Open to working with tech companies and they ever were before like selling into this sectors of the economy in 2015 Incredibly hard.
1:19:38I think now post the chat gpt moment I mean People are willing to give cancers to small startups that they weren't willing to do previously As you mentioned earlier the cost of doing things like forward deployed engineering is fallen by maybe five to tenx now at least Um, and so there's a lot of new possibilities and I'm excited to engage with the best Wow, that is some alpha right there that you're finding that some of these very large organizations are more open to working with startups because you know Classically investors don't invest in companies that are going after Healthcare companies and governments and things like that.
1:20:14So it is really interesting actually to hear Uh, I'm gonna You're back the tips you just shared and there's actually like a secondary tip that I think is the more interesting piece So the first thing you're taking away is iterate quickly But I love your tip of ask for lots of money quickly early to see if it's an actual idea that people will pay lots of money for and if not move on I'd love that The other is uh build a very distinct culture But the piece you share there that I love even more is this idea of knowing what a high bar looks like Knowing what awesome a plus people look like And you need to work at a company like Palantir to actually see that So they'd vice there.
1:20:52I feel as they're just like work at a company that is amazing first with the best talent To understand what that should look like plus you build a network of those folks So I think that's really interesting and then the other pieces Uh, I've advised you're pulling away. It's worked out like really hard messy problems because that's where the biggest opportunities are and it's sounding like this is the easiest time to actually do that Amazing. Okay, I'm gonna take us to a recurring theme on this podcast called AI corner And what we do in AI corners uh is we share some way that you and this is you sharing some way that you've found AI to be useful in your day Did did did a day either in life or in work Is there any way you found some tool in a some AI tool useful that uh you can share Oh my gosh there are so many um I'll give you a few examples So I use whisper flow quite a bit so this is the um talk to your Keyboard and it will transcribe for you app very good It's just great when you're iterating very quickly with an alarm and you sometimes you have to do these paragraph long prompt It's just easier to speak into the right so whisper flow I like just if the double done in that there's like is like you press a button and you start talking and it's writing out what you're saying I cool and like there have been these products for a long time dragon dictate on all these guys Is the difference now these are just like very very good now at actually transcribing what you're saying I think that's right.
1:22:18Yeah, the you know, these these are really good model and certainly rarely makes mistakes even when I think it's quite challenging And then yeah, they you accidentally just nailed so that's a really good one I love Claude code for developing even though I have my complaints about it There's something just very addictive about just telling it what to do and it can up It's basically something that you run within the terminal of your computer And so you just type Claude it over the Claude interface. It's very cute. It's very beautifully designed and You just tell it what to do and actually operate some of the file system directly So if you're like hey create a bunch of these files that will just do it and you don't need to go and mock around Inside finding yourself and then it'll do these really complicated pull requests and it'll basically execute them quite well So to me, this is like a very exciting kind of previewed AI agents That's what I was gonna ask.
1:23:04So this is essentially like a AI agent engineer I didn't know that's what Claude did very cool It's sort of a guided agent, but yeah, it is really sweet And then yeah, I'm just enjoying You know every week there's like a new wonderful. Do you think to play with last seven days? I've been testing Gemini Pro 2 .5 excellent model I don't love Google's UX sometimes, but I was playing with that and I use LLNs every day for all kinds of things The other day I was doing taxes that I needed to classify a bunch of Transactions based on some metadata and so I just wrote a script. I'll really quickly edit that so I love just like the smile on your faces you're describing all these AI tools I think a lot of people are just like I'll always shit.
1:23:50I'm just overwhelmed with all the things I need to be paying attention to all these things in mirror. All these tools I gotta try And I love just this vibe of just like this is incredible and so fun We need more of that Okay, I'm gonna take us to another recurring segment on the podcast. You're gonna get a double whammy contrarian corner So here's the question what's something that you believe that most other people don't? I think going to college is great I think this is a somewhat contrarian view within tag. Maybe not in the broader economy But you know, I often see people saying just like oh if you can just drop out when you're 18 And just start working why would you get a college?
1:24:25And I think this is completely wrong But maybe it's good advice for 5 % of the population who probably would have been teal fellows anyway, but college is one of the few times when you can Just make really really deep friendships you are in You know typically a nice campus If you're in North America you you get to spend all of your time just thinking and writing papers and reading books and hanging out with your friends And it's actually very precious and it's very hard to find that kind of time after you turn 21 Because you know, you got to carry your own work I'm gonna do all this stuff even you know, let's say you make a bunch of money.
1:25:00You take a career break It's still like all your friends are working and There's you always feel like there's a there's a ticking time or a top of your head or something Just taking those three or four years at the very beginning and Going really deep on lots of different Intellectual topics and being able to try different things and discover more like yourself I'm a big college fan. I can't comment on the ROI or whatever I personally think the ROI is great because the fees are kind of high in the US But that's probably my kind of contrarian within tech views don't drop out of college unless you have a really good reason It's so funny that that is contrarian and it does sound contrarian I had a great time in college here here Okay, is there anything else in the bill that you wanted to share or leave listeners with before we get to our very exciting lightning round No, I think it's just it's it's a really exciting time in the world, right?
1:25:51You know, I think I can be exhausting, but it does really just open up the possibility of building about a world in all these ways and so I think just Reassess what you're doing Every couple of months and make sure that it's Aligned with Where I think a is Going and make sure that you are Working on something that you feel has very high potential if it succeeds I think that's more of all in than ever now just because the amount of leverage we have for technology is at the highest point in history Let me double click on that real quick So four people that want to do what you're describing What helps you understand where a is heading and just kind of like a lying with it?
1:26:31Is there like places of information and news you find useful? Is it just play with it kind of thing? What what would you recommend? This is the big question I use X a lot to keep on top of AI So I just recommend finding a good Twitter list and maybe following people off of that. There's some good use that as I really like late in space I know whose X handle it's swix SWX. I can't remember his actual name, but that one is very good and it's it's pretty technical I would recommend trying to stick to the more technical news that is possible Like I think there's a lot of kind of Philosophy about AI or like AI policy type stuff and I think that's good if that's your area, but You know, it's it's an area where it's very easy to have a lot of takes on it It's not you're not necessarily learning a lot by reading those But I think it's just important to know what's going on and make sure you are Revisiting your own workflows as often as possible and just making sure that like the people who went here Are going to be the kind of hybrid cyborg to fuse with the AI's right This actually played out in chess if I can take a slight detours The chess players who succeeded the most in the mid -20 tans especially were the ones who were really early adopters of neural network based chess engines So when you know deep mind did that thing There was very quickly an open -source version of it called lila and you find basically like The very top players like Magnus Carlson Fabiano they they were the ones who Kind of mind -melted the most with lila and learned how it played and then kind of started copying its moves And so I think there's like becoming a cyborg to the extent that you can and then I think there's this barbell thing of like it's also important to just leave everything at go touch grass just for your own mental Mental sanity Excellent advice and with that nabiel we've reached our very exciting lightning round.
1:28:22Are you ready? Here we go What are two or three books the find yourself recommending most to other people the first one that comes to mind is Impro by Keith Johnston This is actually a riddle about it in that essay. It's one of the books that pouties to send to people I just think it's a really interesting book so normally speaking. It's about improvisational theater Which I believe this guy was a pioneer of he was a British guy Keith Johnstone Active between the 60s and the 80s I think and improv is just this really interesting book about creativity and How social behavior works and basically just what he taught this in probably prof students It's a very weird book.
1:29:02It's full of these unbelievably strange ideas like there's a lot of very tactical Things he tells you to do in the first chapter for example just to break out of your mental frameworks um like really just wild stuff like he'll tell you to Walk backwards while counting down from 100 and like think about some problem that you're struggling with and there's all these kind of odd things But the the number of ideas per page I've found on that book is extremely high the Concepts about how social interaction works and how things like status and so on play into your social behavior are Super important and they made every kind of forward to point engineer read that for the simple reason that I think it just helps you kind of read people better and interact with them better and Become more conscience of how you are coming across and just modulate that What is the title again?
1:29:52Impro Impro okay cool. Yeah, we'll get to it in show notes. Yeah, so Impro is number one. I think just to go the double high -brow. Maybe Shakespeare's History plays There's a there's a set of them called the Henry ad so like Henry the four with Henry the fifth Henry the six I find most people don't read these so you know they'll read Hamlet or Macbeth or whatever The Henry ad is absolutely incredible. You don't have to be interested in British monarchy or British history in order to enjoy them They're actually some of the most interesting and insightful books. I've read about power and how power works and Politics and kind of what the sacrifices that you might have to make if you want to be you know a successful king in that case But it transfers over I think it just it it's worth thinking really hard about I think especially in a world where Everything is kind of organized around these prominent figures and personalities now, right?
1:30:46Like when you think about the current administration you think Trump Elon Like when you think about AI you think of Sam Dario, right? And so I think it's important to Understand like how do you think about these personalities and Yeah, the kind of game that they're playing at Henry is actually the Henry ad is an incredible kind of set of books around that They're also like easy to read which sounds hilarious when I say it But you can read a Shakespeare play in a day that they're sort of I don't know they're like 50 pages all because not that bad You have to get used to the language. Yes, but I would recommend that so sure Uh, I guess you asked for two to three.
1:31:22I love High output management by Andy Grove. I just think that's a great business book and People sort of tend to read summaries of it on the internet more than they actually read the book But the actual book has a lot of really interesting stories and explanations about Like I think the most powerful thing about that book is actually how Andy Grove thinks and less any of the specific tactics that I think you don't get that unless you read like how he came up with all these things Your first two books were extremely out there versus what other people have recommended and the third book was the most recommended book on this podcast So I love that spectrum that we just went on perfect Okay, next question.
1:32:00Do you have a favorite recent movie or TV show that you've just really enjoyed? The last movie I really loved was Decision to leave it's a Korean movie. It's by the director of all the boy, which maybe some people have heard of It's a great movie. I think I think it was released a couple years ago And the basic premise is there's an detective who is investigating a woman who's accused of killing a husband and he Gradually starts falling for her would starts to Effort his judgment pull these ways just like a really fascinating Kind of psychological thriller with a sort of romantic element to it visually very beautiful Yeah, I think a lot of the most interesting movies nowadays come from abroad actually so East Asia TV I Don't watch so much yet.
1:32:46It's in a while totally understandable for a founder Okay, next question. Do you have a favorite product that you've recently discovered that you just Really love it could be an app could be some physical could be a water bottle. I don't have a good answer to that one I guess it'd buy enough stuff. Yeah, it's acceptable. There's no wrong answers in the lightning round Moving on do you have a favorite life motto that you often find useful and work here in life that you share with your You come back to they share with friends or family So there's this obstacle crystal fronts on who are these beautiful books that are about you know beauty and kind of more than architecture right and he He was a teacher at UC Berkeley and he got really frustrated with the students because he just felt like they were always turning in kind of like average work And so he would always tell them every week like Imagine the there's a graphic cathedral in fronts called sharch and um, and he would say you have to aim for sharch Like you have to make something that is better than that.
1:33:45That should be your goal not just to like turn in something that That's sort of you know what you feel is good enough You actually I have to try and be better than the very very best that ever did it and I find myself just like repeating this a lot to myself It's just like aim for aim for that like really trying to do that Otherwise, it's very easy to anger on something right in the middle and you just you do this unconsciously all the time So is that the is that the motto just aim for sharch? Yeah I love that most people have no idea without the and but with the context. It's quite powerful Final question What's a classic novel that would you think would be most valuable for product builders?
1:34:26I just my favorite novel is an a Karen and I I heard about that everyone read Erica. I'm reading that right now. I've never read it before. No way Yeah, so it's by Leo Tolstoy is you know It's this epic like 19th century Russian novel that follows a set of characters across society and I think it's just extraordinary because What's what's amazing about him is he's just able to imagine himself into the brain of anybody and so even like He will briefly just go into the consciousness of I don't know the the servant who's bringing the meal to the table or something like that And he'll just tell you a page of what they were thinking and then he'll just flip back into his main characters head I think that is the most impressive demonstration of this kind of skill I've ever seen and I think Like to connect it to your question.
1:35:15This is what you have to do if you're gonna be really good at product is you have to Really think yourself into the other persons had then you have to be Really seeing it the way that they do and it's so hard especially as a founder or product person Not to just get stuck on your own way of seeing the problem, right? It's like you wrote up this dog you made these marks You're like this is gonna be great and then you take it somebody they don't care that much you really have to like Exercise your empathy understand why they see it that way what That's what a beautiful way to bring it all together Let me also add a while I'm reading the book something a tip here is people talk about I have a chat GPT voicemail just kind of sitting there next to you I found that extremely helpful with this book where I just ask like what the hell does this thing mean like there's all these Russian Dances and balls in etiquette.
1:35:59I just ask and you're like I'm reading Anna Krenna what does this mean and it just tells you Yeah, there's another cool tip for AI. Okay with that and feel this was incredible Two final questions case people want to look you up where can they find you online and how can listeners be useful to you Find me online my website is nabioqiu .co and my ex handle is nabioqiu. I'm probably most active on that But yeah, my website has all the links You know a bunch of essays and interesting stuff How can you help me I would say send me an email my emails on my website introduce yourself say hi I love meeting people um, I don't always have time for coffees nowadays or things like that But I genuinely do get a lot of energy from just receiving emails from interesting people so please do reach out Awesome definitely check out an abuels principles.
1:36:51Is that the turt is that the name of that post? Yeah great Okay, that's one to start with and then also there's the palancy or post that we just talked through Okay, Nabiil. Thank you so much for being here. Thank you. Appreciate it Lenny. Hi everyone Thank you so much for listening if you found this valuable you can subscribe to the show on ample podcasts Spotify or your favorite podcast app Also, please consider giving us a rating or leaving a review as that really helps other listeners find the podcast You can find all past episodes or learn more about the show at Lenny's podcast .com See you in the next episode
From the publisher
Nabeel Qureshi is an entrepreneur, writer, researcher, and visiting scholar of AI policy at the Mercatus Center (alongside Tyler Cowen). Previously, he spent nearly eight years at Palantir, working as a forward-deployed engineer. His work at Palantir ranged from accelerating the Covid-19 response to applying AI to drug discovery to optimizing aircraft manufacturing at Airbus. Nabeel was also a founding employee and VP of business development at GoCardless, a leading European fintech unicorn.
What you’ll learn:
• Why almost a third of all Palantir’s PMs go on to start companies
• How the “forward-deployed engineer” model works and why it creates exceptional product leaders
• How Palantir transformed from a “sparkling Accenture” into a $200 billion data/software platform company with more than 80% margins
• The unconventional hiring approach that screens for independent-minded, intellectually curious, and highly competitive people
• Why the company intentionally avoids traditional titles and career ladders—and what they do instead
• Why they built an ontology-first data platform that LLMs love
• How Palantir’s controversial “bat signal” recruiting strategy filtered for specific talent types
• The moral case for working at a company like Palantir
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Where to find Nabeel S. Qureshi:
• LinkedIn: https://www.linkedin.com/in/nabeelqu/
• Website: https://nabeelqu.co/
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Where to find Lenny:
• Newsletter: https://www.lennysnewsletter.com
• X: https://twitter.com/lennysan
• LinkedIn: https://www.linkedin.com/in/lennyrachitsky/
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In this episode, we cover:
(00:00) Introduction to Nabeel S. Qureshi
(05:10) Palantir’s unique culture and hiring
(13:29) What Palantir looks for in people
(16:14) Why they don't have titles
(19:11) Forward-deployed engineers at Palantir
(25:23) Key principles of Palantir's success
(30:00) Gotham and Foundry
(36:58) The ontology concept
(38:02) Life as a forward-deployed engineer
(41:36) Balancing custom solutions and product vision
(46:36) Advice on how to implement forward-deployed engineers
(50:41) The current state of forward-deployed engineers at Palantir
(53:15) The power of ingesting, cleaning and analyzing data
(59:25) Hiring for mission-driven startups
(01:05:30) What makes Palantir PMs different
(01:10:00) The moral question of Palantir
(01:16:03) Advice for new startups
(01:21:12) AI corner
(01:24:00) Contrarian corner
(01:25:42) Lightning round and final thoughts
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Referenced:
• Reflections on Palantir: https://nabeelqu.co/reflections-on-palantir
• Palantir: https://www.palantir.com/
• Intercom: https://www.intercom.com/
• Which companies produce the best product managers: https://www.lennysnewsletter.com/p/which-companies-produce-the-best
• Gotham: https://www.palantir.com/platforms/gotham/
• Foundry: https://www.palantir.com/platforms/foundry/
• Peter Thiel on X: https://x.com/peterthiel
• Alex Karp: https://en.wikipedia.org/wiki/Alex_Karp
• Stephen Cohen: https://en.wikipedia.org/wiki/Stephen_Cohen_(entrepreneur)
• Joe Lonsdale on LinkedIn: https://www.linkedin.com/in/jtlonsdale/
• Tyler Cowen’s website: https://tylercowen.com/
• This Scandinavian City Just Won the Internet With Its Hilarious New Tourism Ad: https://www.afar.com/magazine/oslos-new-tourism-ad-becomes-viral-hit
• Safe Superintelligence: https://ssi.inc/
• Mira Murati on X: https://x.com/miramurati
• Stripe: https://stripe.com/
• Building product at Stripe: craft, metrics, and customer obsession | Jeff Weinstein (Product lead): https://www.lennysnewsletter.com/p/building-product-at-stripe-jeff-weinstein
• Airbus: https://www.airbus.com/en
• NIH: https://www.nih.gov/
• Jupyter Notebooks: https://jupyter.org/
• Shyam Sankar on LinkedIn: https://www.linkedin.com/in/shyamsankar/
• Palantir Gotham for Defense Decision Making: https://www.youtube.com/watch?v=rxKghrZU5w8
• Foundry 2022 Operating System Demo: https://www.youtube.com/watch?v=uF-GSj-Exms
• SQL: https://en.wikipedia.org/wiki/SQL
• Airbus A350: https://en.wikipedia.org/wiki/Airbus_A350
• SAP: https://www.sap.com/index.html
• Barry McCardel on LinkedIn: https://www.linkedin.com/in/barrymccardel/
• Understanding ‘Forward Deployed Engineering’ and Why Your Company Probably Shouldn’t Do It: https://www.barry.ooo/posts/fde-culture
• David Hsu on LinkedIn: https://www.linkedin.com/in/dvdhsu/
• Retool’s Path to Product-Market Fit—Lessons for Getting to 100 Happy Customers, Faster: https://review.firstround.com/retools-path-to-product-market-fit-lessons-for-getting-to-100-happy-customers-faster/
• How to foster innovation and big thinking | Eeke de Milliano (Retool, Stripe): https://www.lennysnewsletter.com/p/how-to-foster-innovation-and-big
• Looker: https://cloud.google.com/looker
• Sorry, that isn’t an FDE: https://tedmabrey.substack.com/p/sorry-that-isnt-an-fde
• Glean: https://www.glean.com/
• Limited Engagement: Is Tech Becoming More Diverse?: https://www.bkmag.com/2017/01/31/limited-engagement-creating-diversity-in-the-tech-industry/
• Operation Warp Speed: https://en.wikipedia.org/wiki/Operation_Warp_Speed
• Mark Zuckerberg testifies: https://www.businessinsider.com/facebook-ceo-mark-zuckerberg-testifies-congress-libra-cryptocurrency-2019-10
• Anduril: https://www.anduril.com/
• SpaceX: https://www.spacex.com/
• Principles: https://nabeelqu.co/principles
• Wispr Flow: https://wisprflow.ai/
• Claude code: https://docs.anthropic.com/en/docs/agents-and-tools/claude-code/overview
• Gemini Pro 2.5: https://deepmind.google/technologies/gemini/pro/
• DeepMind: https://deepmind.google/
• Latent Space newsletter: https://www.latent.space/
• Swyx on x: https://x.com/swyx
• Neural networks in chess programs: https://www.chessprogramming.org/Neural_Networks
• AlphaZero: https://en.wikipedia.org/wiki/AlphaZero
• The top chess players in the world: https://www.chess.com/players
• Decision to Leave: https://www.imdb.com/title/tt12477480/
• Oldboy: https://www.imdb.com/title/tt0364569/
• Christopher Alexander: https://en.wikipedia.org/wiki/Christopher_Alexander
—
Recommended books:
• The Technological Republic: Hard Power, Soft Belief, and the Future of the West: https://www.amazon.com/Technological-Republic-Power-Belief-Future/dp/0593798694
• Zero to One: Notes on Startups, or How to Build the Future: https://www.amazon.com/Zero-One-Notes-Startups-Future/dp/0804139296
• Impro: Improvisation and the Theatre: https://www.amazon.com/Impro-Improvisation-Theatre-Keith-Johnstone/dp/0878301178/
• William Shakespeare: Histories: https://www.amazon.com/Histories-Everymans-Library-William-Shakespeare/dp/0679433120/
• High Output Management: https://www.amazon.com/High-Output-Management-Andrew-Grove/dp/0679762884
• Anna Karenina: https://www.amazon.com/Anna-Karenina-Leo-Tolstoy/dp/0143035002
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Production and marketing by https://penname.co/. For inquiries about sponsoring the podcast, email podcast@lennyrachitsky.com.
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Lenny may be an investor in the companies discussed.
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