What Tech CEOs Are Talking About and Why You Need to Pay Attention

This month, Paul Graham published a new essay that sparked online controversy. In the piece, he coined a new term called “Founder Mode” that had innovators, Silicon Valley’s elite and top executives across the globe reconsidering what it means to run a successful business as a founder.

As one of the most influential voices in the startup ecosystem, Graham's words matter, and as PR teams look to develop impactful thought leadership programs, he’s a top role model to watch and emulate. His 2006 essay, How to Do What You Love, is one of my personal favorites. However, it was his latest discussion on leadership, coupled with Brian Chesky’s thought-provoking insights, that has CEOs and founders talking.  

So, what is Founder Mode, and why does it matter?

It’s a new framework for leadership

Founder Mode refers to a leadership style where the founder of a company remains deeply involved in the daily operations and decision-making processes of their organization, even as it scales. Unlike the traditional shift to a “manager mode,” where leaders become more hands-off, founders in this mode stay connected to the company's core functions and culture. They rely heavily on instinct and personal insight to guide decisions, an approach that contrasts with the delegation-focused style commonly recommended for scaling businesses.

Why is it trending?

Founder Mode took the spotlight after Paul Graham, co-founder of Y Combinator (YC), wrote a viral blog post. The post was inspired by Brian Chesky, co-founder and CEO of Airbnb, who shared his experience of it at a YC event. Chesky recounted how traditional management advice nearly caused his company to lose its way. Abandoning this advice, he returned to a hands-on leadership style, re-engaging with Airbnb’s mission in ways that ultimately improved performance. Chesky's approach resonated with many founders, who similarly felt pressured to step back as their companies grew but found it damaging to the business.

For those unfamiliar, Y Combinator has been a powerful force in shaping the startup ecosystem, nurturing companies like Airbnb, Dropbox, Stripe, and Reddit to name a few. This influence has made Paul Graham a critical figure to follow in tech and Chesky, often considered “the next Steve Jobs,” is another key player to observe.

Why should I care?

Founder Mode challenges conventional wisdom. Traditionally, business management frameworks encourage CEOs to delegate as their companies scale. Yet, Founder Mode suggests the opposite — arguing that by maintaining deep involvement in day-to-day operations, founders can drive more meaningful long-term success.

Leaders like Steve Jobs are prime examples of this philosophy in action. His influence permeated all levels of Apple, shaping everything from product design to corporate strategy. By staying connected to the core of their company, founders can preserve the original vision and make quicker, more intuitive decisions. Similarly, Jensen Huang, CEO of Nvidia, manages an impressive 60 direct reports, remaining closely connected to company operations.

Why has it been in the headlines?

The Founder Mode approach has sparked debates in the business world for several reasons. There’s been managerial pushback, for one. Many argue that delegation is essential for scaling businesses. Critics claim that Founder Mode risks micromanagement, leading to inefficiencies or slower decision-making. Similarly, female founders, like Whitney Wolfe Herd, shared with Fortune how they face additional scrutiny when applying Founder Mode-like leadership strategies. In short, behaviors deemed acceptable for male leaders are often criticized when exhibited by women, leading to a push for female founders to adopt traditional management roles more quickly. Lastly, some point out that Founder Mode could be misused as an excuse for over-involvement. Founders who don’t effectively delegate could overwhelm themselves, potentially harming the company's efficiency or even leading to burnout.

The rise of Founder Mode is a fascinating shift in how we think about leadership in growing companies. As more founders push back against traditional management advice, opting instead to stay deeply involved in the companies they built, it’s clear this conversation is far from over. For anyone in tech — or even those simply observing it — understanding the nuances of Founder Mode can provide insights into the future of leadership. It’ll be exciting to see how this conversation further unfolds.  

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