In 1948
there were seven thousand people in Grinnell, Iowa, including more
than one who didn’t dare take a drink in his own house without
pulling the shades down first. It was against the law to sell
liquor in Grinnell, but it was perfectly legal to drink it at home.
So it wasn’t that. It wasn’t even that someone might look in
through the window and disapprove. God knew Grinnell had more than
its share of White Ribbon teetotalers, but by 1948 alcohol was
hardly the mark of Cain it had once been. No, those timid souls
with their fingers through the shade loops inside the white frame
houses on Main Street and Park Street were thinking of something
else altogether.
They happened to live on land
originally owned by the Congregational minister who had founded the
town in 1854, Josiah Grinnell. Josiah Grinnell had sold off lots
with covenants, in perpetuity, stating that anyone who allowed
alcohol to be drunk on his property forfeited ownership.
In perpetuity! In perpetuity was forever,
and 1948 was not even a hundred years later. In 1948 there were
people walking around Grinnell who had known Josiah Grinnell
personally. They were getting old—Grinnell had died in 1891—but
they were still walking around. So … why take a
chance!
The plain truth was, Grinnell had
Middle West written all over it. It was squarely in the middle of
Iowa’s midland corn belt, where people on the farms said “crawdad”
instead of crayfish and “barn lot” instead of barnyard. Grinnell
had been one of many Protestant religious communities established
in the mid-nineteenth century after Iowa became a state and
settlers from the East headed for the farmlands. The streets were
lined with white clapboard houses and elm trees, like a New England
village. And today, in 1948, the hard-scrubbed Octagon Soap smell
of nineteenth-century Protestantism still permeated the houses and
Main Street as well. That was no small part of what people in the
East thought of when they heard the term “Middle West.” For thirty
years writers such as Sherwood Anderson, Sinclair Lewis, and Carl
Van Vechten had been prompting the most delicious sniggers with
their portraits of the churchy, narrow-minded Middle West. The Iowa
painter Grant Wood was thinking of farms like the ones around
Grinnell when he did his famous painting American
Gothic. Easterners recognized the grim, juiceless couple in
Wood’s picture right away. There were John Calvin’s and John Knox’s
rectitude reigning in the sticks.
In the fall of 1948 Harry Truman picked
out Grinnell as one of the stops on his whistle-stop campaign tour,
one of the hamlets where he could reach out to the little people,
the average Americans of the heartland, the people untouched by the
sophisticated opinion-makers of New York and Washington. Speaking
from the rear platform of his railroad car, Truman said he would
never forget Grinnell, because it was Grinnell College, the little
Congregational academy over on Park Street, that had given him his
first honorary degree. The President’s fond recollection didn’t cut
much ice, as it turned out. The town had voted Republican in every
presidential election since the first time Abraham Lincoln ran, in
1860, and wasn’t about to change for Harry Truman.
On the face of it, there you had
Grinnell, Iowa, in 1948: a piece of mid-nineteenth-century American
history frozen solid in the middle of the twentieth. It was one of
the last towns in America that people back East would have figured
to become the starting point of a bolt into the future that would
create the very substructure, the electronic grid, of life in the
year 2000 and beyond.
On the other hand, it wouldn’t have
surprised Josiah Grinnell in the slightest.
It was in the summer of 1948 that Grant Gale, a forty-five-year-old physics professor at Grinnell College, ran across an item in the newspaper concerning a former classmate of his at the University of Wisconsin named John Bardeen. Bardeen’s father had been dean of medicine at Wisconsin, and Gale’s wife Harriet’s father had been dean of the engineering school, and so Bardeen and Harriet had grown up as fellow faculty brats, as the phrase went. Both Gale and Bardeen had majored in electrical engineering. Eventually Bardeen had taught physics at the University of Minnesota and had then left the academic world to work for Bell Laboratories, the telephone company’s main research center, in Murray Hill, New Jersey. And now, according to the item, Bardeen and another engineer at Bell, Walter Brattain, had invented a novel little device they called a transistor.
It was only an item, however; the
invention of the transistor in 1948 did not create headlines. The
transistor apparently performed the same function as the vacuum
tube, which was an essential component of telephone relay systems
and radios. Like the vacuum tube, the transistor could isolate a
specific electrical signal, such as a radio wave, and amplify it.
But the transistor did not require glass tubing, a vacuum, a plate,
or a cathode. It was nothing more than two minute gold wires
leading to a piece of processed germanium less than a sixteenth of
an inch long, shaped like a tiny brick. Germanium, an element found
in coal, was an insulator, not a conductor. But if the germanium
was contaminated with impurities, it became a “semiconductor.” A
vacuum tube was also a semiconductor; the vacuum itself, like the
germanium, was an insulator. But as every owner of a portable radio
knew, vacuum tubes drew a lot of current, required a warm-up
interval before they would work, and then got very hot. A
transistor eliminated all these problems and, on top of that, was
about fifty times smaller than a vacuum tube.
So far, however, it was impossible to
mass-produce transistors, partly because the gold wires had to be
made by hand and attached by hand two thousandths of an inch apart.
But that was the telephone company’s problem. Grant Gale wasn’t
interested in any present or future applications of the transistor
in terms of products. He hoped the transistor might offer a way to
study the flow of electrons through a solid (the germanium), a
subject physicists had speculated about for decades. He thought it
would be terrific to get some transistors for his physics
department at Grinnell. So he wrote to Bardeen at Bell
Laboratories. Just to make sure his request didn’t get lost in the
shuffle, he also wrote to the president of Bell Laboratories,
Oliver Buckley. Buckley was from Sloane, Iowa, and happened to be a
Grinnell graduate. So by the fall of 1948 Gale had obtained two of
the first transistors ever made, and he presented the first
academic instruction in solid-state electronics available anywhere
in the world, for the benefit of the eighteen students majoring in
physics at Grinnell College.
One of Grant Gale’s senior physics
majors was a local boy named Robert Noyce, whom Gale had known for
years. Bob and his brothers, Donald, Gaylord, and Ralph, lived just
down Park Street and used to rake leaves, mow the lawn, baby-sit,
and do other chores for the Gales. Lately Grant Gale had done more
than his share of agonizing over Bob Noyce. Like his brothers, Bob
was a bright student, but he had just been thrown out of school for
a semester, and it had taken every bit of credit Gale had in the
local favor bank, not only with other faculty members but also with
the sheriff, to keep the boy from being expelled for good and
stigmatized with a felony conviction.
Bob Noyce’s father, Ralph Sr., was a
Congregational minister. Not only that, both his grandfathers were
Congregational ministers. But that hadn’t helped at all. In an odd
way, after the thing happened, the boy’s clerical lineage had
boomeranged on him. People were going around saying, “Well, what do
you expect from a preacher’s son?” It was as if people in Grinnell
agreed with Sherwood Anderson that underneath the righteousness the
Midwestern Protestant preachers urged upon them, and which they
themselves professed to uphold, lived demons of weakness,
perversion, and hypocrisy that would break loose sooner or
later.
No one denied that the Noyce boys were
polite and proper in all outward appearances. They were members of
the Boy Scouts. They went to Sunday school and the main Sunday
service at the First Congregational Church and were active in the
church youth groups. They were pumped full of Congregationalism
until it was spilling over. Their father, although a minister, was
not the minister of the First Congregational Church. He was the
associate superintendent of the Iowa Conference of Congregational
Churches, whose headquarters were at the college. The original
purpose of the college had been to provide a good academic
Congregational education, and many of the graduates became
teachers. The Conference was a coordinating council rather than a
governing body, since a prime tenet of the Congregational Church,
embedded in its name, was that each congregation was autonomous.
Congregationalists rejected the very idea of a church hierarchy. A
Congregational minister was not supposed to be a father or even a
shepherd but, rather, a teacher. Each member of the congregation
was supposed to internalize the moral precepts of the church and be
his own priest dealing directly with God. So the job of secretary
of the Iowa Conference of Congregational Churches was anything but
a position of power. It didn’t pay much, either.
The Noyces didn’t own their own home.
They lived in a two-story white clapboard house that was owned by
the church at Park Street and Tenth Avenue, at the college. Not
owning your own home didn’t carry the social onus in Grinnell that
it did in the East. There was no upper crust in Grinnell. There
were no top people who kept the social score in such matters.
Congregationalists rejected the idea of a social hierarchy as
fiercely as they did the idea of a religious hierarchy. The
Congregationalists, like the Presbyterians, Methodists, Baptists,
and United Brethren, were Dissenting Protestants. They were direct
offshoots of the Separatists, who had split off from the Church of
England in the sixteenth and seventeenth centuries and settled New
England. At bottom, their doctrine of the autonomous congregation
was derived from their hatred of the British system of class and
status, with its endless gradations, topped off by the Court and
the aristocracy. Even as late as 1948 the typical small town of the
Middle West, like Grinnell, had nothing approaching a country club
set. There were subtle differences in status in Grinnell, as in any
other place, and it was better to be rich than poor, but there were
only two obvious social ranks: those who were devout, educated, and
hardworking, and those who weren’t. Genteel poverty did not doom
one socially in Grinnell. Ostentation did. The Noyce boys worked at
odd jobs to earn their pocket money. That was socially correct as
well as useful. To have devoted the same time to taking tennis
lessons or riding lessons would have been a gaffe in
Grinnell.
Donald, the oldest of the four boys,
had done brilliantly at the college and had just received his Ph.D.
in chemistry at Columbia University and was about to join the
faculty of the University of California at Berkeley. Gaylord, the
second oldest, was teaching school in Turkey. Bob, who was a year
younger than Gaylord, had done so well in science at Grinnell High
School that Grant Gale had invited him to take the freshman physics
course at the college during his high-school senior year. He became
one of Gale’s star students and most tireless laboratory workers
from that time on. Despite his apparent passion for the scientific
grind, Bob Noyce turned out to be that much-vaunted creature, the
well-rounded student. He was a trim, muscular boy, five feet eight,
with thick dark brown hair, a strong jawline, and a long, broad
nose that gave him a rugged appearance. He was the star diver on
the college swimming team and won the Midwest Conference
championship in 1947. He sang in choral groups, played the oboe,
and was an actor with the college dramatic society. He also acted
in a radio drama workshop at the college, along with his friend
Peter Hackes and some others who were interested in broadcasting,
and was the leading man in a soap opera that was broadcast over
station WOI in Ames, Iowa.
Perhaps Bob Noyce was a bit too well
rounded for local tastes. There were people who still remembered
the business with the box kite back in 1941, when he was thirteen.
It had been harmless, but it could have been a disaster. Bob had
come across some plans for the building of a box kite, a kite that
could carry a person aloft, in the magazine Popular
Science. So he and Gaylord made a frame of cross-braced pine
and covered it with a bolt of muslin. They tried to get the thing
up by running across a field and towing it with a rope, but that
didn’t work terribly well. Then they hauled it up on the roof of a
barn, and Bob sat in the seat and Gaylord ran across the roof,
pulling the kite, and Bob was lucky he didn’t break his neck when
he and the rig hit the ground. So then they tied it to the rear
bumper of a neighbor’s car. With the neighbor at the wheel, Bob
rode the kite and managed to get about twelve feet off the ground
and glide for thirty seconds or so and come down without wrecking
himself or any citizen’s house or livestock.
Livestock … yes. Livestock was a major
capital asset in Grinnell, and livestock was at the heart of what
happened in 1948. In May a group of Bob Noyce’s friends in one of
the dormitory houses at Grinnell decided to have a luau, and he was
in on the planning. The Second World War had popularized the exotic
ways of the South Pacific, so that in 1948 the luau was an
up-to-the-minute social innovation. The centerpiece of a luau was a
whole roasted suckling pig with an apple or a pineapple in its
mouth. Bob Noyce, being strong and quick, was one of the two boys
assigned to procure the pig. That night they sneaked onto a farm
just outside Grinnell and wrestled a twenty-five-pound suckling out
of a pigpen and arrived back at the luau to great applause. Within
a few hours the pig was crackling hot and had an apple in its mouth
and looked good enough for seconds and thirds, which everybody
helped himself to, and there was more applause. The next morning
came the moral hangover. The two boys decided to go see the farmer,
confess, and pay for the pig. They didn’t quite understand how a
college luau, starring his pig, would score on the laugh meter with
a farmer in midland Iowa. In the state of Iowa, where the vast
majority of people depended upon agriculture for a livelihood and
upon Protestant morality for their standards, not even stealing a
watermelon worth thirty-five cents was likely to be written off as
a boyish prank. Stealing a pig was larceny. The farmer got the
sheriff and insisted on bringing criminal charges.
There was only so much that Ralph
Noyce, the preacher with the preacher’s son, could do. Grant Gale,
on the other hand, was the calm, well-respected third party. He had
two difficult tasks: to keep Bob out of jail and out of court and
to keep the college administration from expelling him. There was
never any hope at all of a mere slap on the wrist. The compromise
Grant Gale helped work out—a one-semester suspension—was the best
deal Bob could have hoped for realistically.
The Night of the Luau Pig was quite a
little scandal on the Grinnell Richter scale. So Gale was all the
more impressed by the way Bob Noyce took it. The local death-ray
glowers never broke his confidence. All the Noyce boys had a
profound and, to tell the truth, baffling confidence. Bob had a
certain way of listening and staring. He would lower his head
slightly and look up with a gaze that seemed to be about one
hundred amperes. While he looked at you he never blinked and never
swallowed. He absorbed everything you said and then answered very
levelly in a soft baritone voice and often with a smile that showed
off his terrific set of teeth. The stare, the voice, the smile—it
was all a bit like the movie persona of the most famous of all
Grinnell College’s alumni, Gary Cooper. With his strong face, his
athlete’s build, and the Gary Cooper manner, Bob Noyce projected
what psychologists call the halo effect. People with the halo
effect seem to know exactly what they’re doing and, moreover, make
you want to admire them for it. They make you see the halos over
their heads.
Years later people would naturally
wonder where Bob Noyce got his confidence. Many came to the
conclusion it was as much from his mother, Harriet Norton Noyce, as
from his father. She was a latter-day version of the sort of
strong-willed, intelligent, New England-style woman who had made
such a difference during Iowa’s pioneer days a hundred years
before. His mother and father, with the help of Rowland Cross, who
taught mathematics at Grinnell, arranged for Bob to take a job in
the actuarial department of Equitable Life in New York City for the
summer. He stayed on at the job during the fall semester, then came
back to Grinnell at Christmas and rejoined the senior class in
January as the second semester began. Gale was impressed by the
aplomb with which the prodigal returned. In his first three years
Bob had accumulated so many extra credits, it would take him only
this final semester to graduate. He resumed college life, including
the extracurricular activities, without skipping a beat. But more
than that, Gale was gratified by the way Bob became involved with
the new experimental device that was absorbing so much of Gale’s
own time: the transistor.
Bob was not the only physics major
interested in the transistor, but he was the one who seemed most
curious about where this novel mechanism might lead. He went off to
the Massachusetts Institute of Technology, in Cambridge, in the
fall to begin his graduate work. When he brought up the subject of
the transistor at MIT, even to faculty members, people just looked
at him. Even those who had heard of it regarded it merely as a
novelty fabricated by the telephone company. There was no course
work involving transistors or the theory of solid-state
electronics. His dissertation was a “Photoelectric Study of Surface
States on Insulators,” which was at best merely background for
solid-state electronics. In this area MIT was far behind Grinnell
College. For a good four years Grant Gale remained one of the few
people Bob Noyce could compare notes with in this new
field.
Well, it had been a close one! What if
Grant Gale hadn’t gone to school with John Bardeen, and what if
Oliver Buckley hadn’t been a Grinnell alumnus? And what if Gale
hadn’t bothered to get in touch with the two of them after he read
the little squib about the transistor in the newspaper? What if he
hadn’t gone to bat for Bob Noyce after the Night of the Luau Pig
and the boy had been thrown out of college and that had been that?
After all, if Bob hadn’t been able to finish at Grinnell, he
probably never would have been introduced to the transistor. He
certainly wouldn’t have come across it at MIT in 1948. Given what
Bob Noyce did over the next twenty years, one couldn’t help but
wonder about the fortuitous chain of events.
Fortuitous …
well! How Josiah Grinnell, up on the plains of Heaven, must have
laughed over that!
Grant Gale was the first important physicist in Bob Noyce’s career. The second was William Shockley. After their ambitions had collided one last time, and they had parted company, Noyce had concluded that he and Shockley were two very different people. But in many ways they were alike.
For a start, they both had an amateur’s
hambone love of being onstage. At MIT Noyce had sung in choral
groups. Early in the summer of 1953, after he had received his
Ph.D., he went over to Tufts College to sing and act in a program
of musicals presented by the college. The costume director was a
girl named Elizabeth Bottomley, from Barrington, Rhode Island, who
had just graduated from Tufts, majoring in English. They both
enjoyed dramatics. Singing, acting, and skiing had become the
pastimes Noyce enjoyed most. He had become almost as expert at
skiing as he had been at diving. Noyce and Betty, as he called her,
were married that fall.
In 1953 the MIT faculty was just
beginning to understand the implications of the transistor. But
electronics firms were already eager to have graduate electrical
engineers who could do research and development in the new field.
Noyce was offered jobs by Bell Laboratories, IBM, RCA, and Philco.
He went to work for Philco, in Philadelphia, because Philco was
starting from near zero in semiconductor research and chances for
rapid advancement seemed good. But Noyce was well aware that the
most important work was still being done at Bell Laboratories,
thanks in no small part to William Shockley.
Shockley had devised the first
theoretical framework for research into solid-state semiconductors
as far back as 1939 and was in charge of the Bell Labs team that
included John Bardeen and Walter Brattain. Shockley had also
originated the “junction transistor,” which turned the transistor
from an exotic laboratory instrument into a workable item. By 1955
Shockley had left Bell and returned to Palo Alto, California, where
he had grown up near Stanford University, to form his own company,
Shockley Semiconductor Laboratory, with start-up money provided by
Arnold Beckman of Beckman Instruments. Shockley opened up shop in a
glorified shed on South San Antonio Road in Mountain View, which
was just south of Palo Alto. The building was made of concrete
blocks with the rafters showing. Aside from clerical and
maintenance personnel, practically all the employees were
electrical engineers with doctorates. In a field this experimental
there was nobody else worth hiring. Shockley began talking about
“my Ph.D. production line.”
Meanwhile, Noyce was not finding Philco
the golden opportunity he thought it would be. Philco wanted good
enough transistors to stay in the game with GE and RCA, but it was
not interested in putting money into the sort of avant-garde
research Noyce had in mind. In 1956 he resigned from Philco and
moved from Pennsylvania to California to join Shockley. The way he
went about it was a classic example of the Noyce brand of
confidence. By now he and his wife, Betty, had two children: Bill,
who was two, and Penny, who was six months old. After a couple of
telephone conversations with Shockley, Noyce put himself and Betty
on a night flight from Philadelphia to San Francisco. They arrived
in Palo Alto at 6 a.m. By noon Noyce had signed a contract to buy a
house. That afternoon he went to Mountain View to see Shockley and
ask for a job, projected the halo, and got it.
The first months on Shockley’s Ph.D.
production line were exhilarating. It wasn’t really a production
line at all. Everything at this stage was research. Every day a
dozen young Ph.D.s came to the shed at eight in the morning and
began heating germanium and silicon, another common element, in
kilns to temperatures ranging from 1,472 to 2,552 degrees
Fahrenheit. They wore white lab coats, goggles, and work gloves.
When they opened the kiln doors, weird streaks of orange and white
light went across their faces, and they put in the germanium or the
silicon, along with specks of aluminum, phosphorus, boron, and
arsenic. Contaminating the germanium or silicon with the aluminum,
phosphorus, boron, and arsenic was called doping. Then they lowered
a small mechanical column into the goo so that crystals formed on
the bottom of the column, and they pulled the crystal out and tried
to get a grip on it with tweezers, and put it under microscopes and
cut it with diamond cutters, among other things, into minute
slices, wafers, chips—there were no names in electronics for these
tiny forms. The kilns cooked and bubbled away, the doors opened,
the pale apricot light streaked over the goggles, the tweezers and
diamond cutters flashed, the white coats flapped, the Ph.D.s
squinted through their microscopes, and Shockley moved between the
tables conducting the arcane symphony.
In pensive moments Shockley looked very
much the scholar, with his roundish face, his roundish eyeglasses,
and his receding hairline—but Shockley was not a man locked in the
pensive mode. He was an enthusiast, a raconteur, and a showman. At
the outset his very personality was enough to keep everyone swept
up in the great adventure. When he lectured, as he often did at
colleges and before professional groups, he would walk up to the
lectern and thank the master of ceremonies and say that the only
more flattering introduction he had ever received was one he gave
himself one night when the emcee didn’t show up,
whereupon—bango!—a bouquet of red roses
would pop up in his hand. Or he would walk up to the lectern and
say that tonight he was getting into a hot subject, whereupon he
would open a book and—whumpf!—a puff of
smoke would rise up out of the pages.
Shockley was famous for his homely but
shrewd examples. One day a student confessed to being puzzled by
the concept of amplification, which was one of the prime functions
of the transistor. Shockley told him, “If you take a bale of hay
and tie it to the tail of a mule and then strike a match and set
the bale of hay on fire, and if you then compare the energy
expended shortly thereafter by the mule with the energy expended by
yourself in the striking of the match, you will understand the
concept of amplification.”
On November 1, 1956, Shockley arrived
at the shed on South San Antonio Road beaming. Early that morning
he had received a telephone call informing him that he had won the
Nobel Prize in Physics for the invention of the transistor; or,
rather, that he was co-winner, along with John Bardeen and Walter
Brattain. Shockley closed up shop and took everybody to a
restaurant called Dinah’s Shack over on El Camino Real, the road to
San Francisco that had become Palo Alto’s commercial strip. He
treated his Ph.D. production line and all the other employees to a
champagne breakfast. It seemed that Shockley’s father was a mining
engineer who spent years out on remote Durango terrains, in Nevada,
Manchuria—all over the world. Shockley’s mother was like Noyce’s.
She was an intelligent woman with a commanding will. The Shockleys
were Unitarians, the Unitarian Church being an offshoot of the
Congregational. Shockley Sr. was twenty years older than Shockley’s
mother and died when Shockley was seventeen. Shockley’s mother was
determined that her son would someday “set the world on fire,” as
she once put it. And now he had done it. Shockley lifted a glass of
champagne in Dinah’s Shack, and it was as if it were a toast back
across a lot of hard-wrought Durango grit Octagon Soap sagebrush
Dissenting Protestant years to his father’s memory and his mother’s
determination.
That had been a great day at Shockley
Semiconductor Laboratory. There weren’t many more. Shockley was
magnetic, he was a genius, and he was a great research director—the
best, in fact. His forte was breaking a problem down to first
principles. With a few words and a few lines on a piece of paper he
aimed any experiment in the right direction. When it came to
comprehending the young engineers on his Ph.D. production line,
however, he was not so terrific.
It never seemed to occur to Shockley
that his twelve highly educated elves just might happen to view
themselves the same way he had always viewed himself: which is to
say, as young geniuses capable of the sort of inventions Nobel
Prizes were given for. One day Noyce came to Shockley with some new
results he had found in the laboratory. Shockley picked up the
telephone and called some former colleagues at Bell Labs to see if
they sounded right. Shockley never even realized that Noyce had
gone away from his desk seething. Then there was the business of
the new management techniques. Now that he was an entrepreneur,
Shockley came up with some new ways to run a company. Each one
seemed to irritate the elves more than the one before. For a start,
Shockley published their salaries. He posted them on a bulletin
board. That way there would be no secrets. Then he started having
the employees rate one another on a regular basis. These were
so-called peer ratings, a device sometimes used in the military and
seldom appreciated even there. Everybody regarded peer ratings as
nothing more than popularity contests. But the real turning point
was the lie detector. Shockley was convinced that someone in the
shed was sabotaging the project. The work was running into
inexplicable delays, but the money was running out on schedule. So
he insisted that each employee roll up his sleeve and bare his
chest and let the electrodes be attached and submit to a polygraph
examination. No saboteur was ever found.
There were also some technical
differences of opinion. Shockley was interested in developing a
so-called four-layer diode. Noyce and two of his fellow elves,
Gordon Moore and Jean Hoerni, favored transistors. But at bottom it
was dissatisfaction with the boss and the lure of entrepreneurship
that led to what happened next.
In the summer of 1957 Moore, Hoerni,
and five other engineers—but not Noyce—got together and arrived at
what became one of the primary business concepts of the young
semiconductor industry. In this business, it dawned on them,
capital assets in the traditional sense of plant, equipment, and
raw materials counted for next to nothing. The only plant you
needed was a shed big enough for the worktables. The only equipment
you needed was some kilns, goggles, microscopes, tweezers, and
diamond cutters. The materials, silicon and germanium, came from
dirt and coal. Brainpower was the entire franchise. If the seven of
them thought they could do the job better than Shockley, there was
nothing to keep them from starting their own company. On that day
was born the concept that would make the semiconductor business as
wild as show business: defection capital.
The seven defectors went to the Wall
Street firm of Hayden Stone in search of start-up money. It was at
this point that they realized they had to have someone to serve as
administrator. So they turned to Noyce, who was still with
Shockley. None of them, including Noyce, had any administrative
experience, but they all thought of Noyce as soon as the question
came up. They didn’t know exactly what they were looking for … but
Noyce was the one with the halo. He agreed to join them. He would
continue to wear a white lab coat and goggles and do research. But
he would also be the coordinator. Of the eight of them, he would be
the one man who kept track, on a regular basis, of all sides of the
operation. He was twenty-nine years old.
Arthur Rock of Hayden Stone approached
twenty-two firms before he finally hooked the defectors up with the
Fairchild Camera and Instrument Corporation of New York. Fairchild
was owned by Sherman Fairchild, a bachelor bon vivant who lived in
a futuristic town house on East Sixty-fifth Street in Manhattan.
The house was in two sections connected by ramps. The ramps were
fifty feet long in some cases, enclosed in glass so that you could
go up and down the ramps in all weather and gaze upon the marble
courtyard below. The place looked like something from out of the
Crystal Palace of Ming in Flash Gordon. The
ramps were for his Aunt May, who lived with him and was confined to
a wheelchair and had even more Fairchild money than he did. The
chief executive officer of Fairchild was John Carter, who had just
come from the Corning Glass Company. He had been the youngest
vice-president in the history of that old-line, family-owned firm.
He was thirty-six. Fairchild Camera and Instrument gave the
defectors the money to start up the new company, Fairchild
Semiconductor, with the understanding that Fairchild Camera and
Instrument would have the right to buy Fairchild Semiconductor for
$3 million at any time within the next eight years.
Shockley took the defections very hard.
He seemed as much hurt as angered, and he was certainly angry
enough. A friend of Shockley’s said to Noyce’s wife, Betty, “You
must have known about this for quite some time. How on earth could
you not tell me?” That was a baffling remark, unless one regarded
Shockley as the father of the transistor and the defectors as the
children he had taken beneath his mantle of greatness.
If so, one had a point. Years later, if
anyone had drawn up a family tree for the semiconductor industry,
practically every important branch would have led straight from
Shockley’s shed on South San Antonio Road. On the other hand, Noyce
had been introduced to the transistor not by Shockley but by John
Bardeen, via Grant Gale, and not in California but back in his own
hometown, Grinnell, Iowa.
For that matter, Josiah Grinnell had
been a defector in his day, too, and there was no record that he
had ever lost a night’s sleep over it.
Noyce, Gordon Moore, Jean Hoerni, and the other five defectors set up Fairchild Semiconductor in a two-story warehouse building some speculator had built out of tilt-up concrete slabs on Charleston Avenue in Mountain View, about twelve blocks from Shockley’s operation. Mountain View was in the northern end of the Santa Clara Valley. In the business world the valley was known mainly for its apricot, pear, and plum orchards. From the work bays of the light-industry sheds that the speculators were beginning to build in the valley you could look out and see the raggedy little apricot trees they had never bothered to bulldoze after they bought the land from the farmers. A few well-known electronics firms were already in the valley: General Electric and IBM, as well as a company that had started up locally, Hewlett-Packard. Stanford University was encouraging engineering concerns to locate near Palo Alto and use the university’s research facilities. The man who ran the program was a friend of Shockley’s, Frederick E. Terman, whose father had originated the first scientific measurement of human intelligence, the Stanford-Binet IQ test.
IBM had a facility in the valley that
was devoted specifically to research rather than production. Both
IBM and Hewlett-Packard were trying to develop a highly esoteric
and colossally expensive new device, the electronic computer.
Shockley had been the first entrepreneur to come to the area to
make semiconductors. After the defections his operation never got
off the ground. Here in the Santa Clara Valley, that left the field
to Noyce and the others at Fairchild.
Fairchild’s start-up couldn’t have come
at a better time. By 1957 there was sufficient demand from
manufacturers who merely wanted transistors instead of vacuum
tubes, for use in radios and other machines, to justify the new
operation. But it was also in 1957 that the Soviet Union launched
Sputnik I. In the electronics industry the ensuing space race had
the effect of coupling two new inventions—the transistor and the
computer—and magnifying the importance of both.
The first American electronic computer,
known as ENIAC, had been developed by the Army during the Second
World War, chiefly as a means of computing artillery and bomb
trajectories. The machine was a monster. It was one hundred feet
long and ten feet high and required eighteen thousand vacuum tubes.
The tubes generated so much heat, the temperature in the room
sometimes reached 120 degrees. What the government needed was small
computers that could be installed in rockets to provide automatic
onboard guidance. Substituting transistors for vacuum tubes was an
obvious way to cut down on the size. After Sputnik I the glamorous
words in the semiconductor business were “computers” and
“miniaturization.”
Other than Shockley Semiconductor,
Fairchild was the only semiconductor company in the Santa Clara
Valley, but Texas Instruments had entered the field in Dallas, as
had Motorola in Phoenix and Transitron and Raytheon in the Boston
area, where a new electronics industry was starting up as MIT
finally began to comprehend the new technology. These firms were
all racing to refine the production of transistors to the point
where they might command the market. So far refinement had not been
anybody’s long suit. No tourist dropping by Fairchild, Texas
Instruments, Motorola, or Transitron would have had the faintest
notion he was looking in on the leading edge of the most advanced
of all industries, electronics. The work bays, where the
transistors were produced, looked like slightly sunnier versions of
the garment sweatshops of San Francisco’s Chinatown. Here were rows
of women hunched over worktables, squinting through microscopes,
doing the most tedious and frustrating sort of manual labor,
cutting layers of silicon apart with diamond cutters, picking
little rectangles of them up with tweezers, trying to attach wires
to them, dropping them, rummaging around on the floor to find them
again, swearing, muttering, climbing back up to their chairs,
rubbing their eyes, squinting back through the microscopes, and
driving themselves crazy some more. Depending on how well the
silicon or germanium had been cooked and doped, anywhere from 50 to
90 percent of the transistors would turn out to be defective even
after all that, and sometimes the good ones would be the ones that
fell on the floor and got ruined.
Even for a machine as simple as a radio
the individual transistors had to be wired together, by hand, until
you ended up with a little panel that looked like a road map of
West Virginia. As for a computer—the wires inside a computer were
sheer spaghetti.
Noyce had figured out a solution. But
fabricating it was another matter. There was something primitive
about cutting individual transistors out of sheets of silicon and
then wiring them back together in various series. Why not put them
all on a single piece of silicon without wires? The problem was
that you would also have to carve, etch, coat, and otherwise
fabricate the silicon to perform all the accompanying electrical
functions as well, the functions ordinarily performed by
insulators, rectifiers, resistors, and capacitors. You would have
to create an entire electrical system, an entire circuit, on a
little wafer or chip.
Noyce realized that he was not the only
engineer thinking along these lines, but he had never even heard of
Jack Kilby. Kilby was a thirty-six-year-old engineer working for
Texas Instruments in Dallas. In January 1959 Noyce made his first
detailed notes about a complete solid-state circuit. A month later
Texas Instruments announced that Jack Kilby had invented one.
Kilby’s integrated circuit, as the invention was called, was made
of germanium. Six months later Noyce created a similar integrated
circuit made of silicon and using a novel insulating process
developed by Jean Hoerni. Noyce’s silicon device turned out to be
more efficient and more practical to produce than Kilby’s and set
the standard for the industry. So Noyce became known as the
co-inventor of the integrated circuit. Nevertheless, Kilby had
unquestionably been first. There was an ironic echo of Shockley
here. Strictly speaking, Bardeen and Brattain, not Shockley, had
invented the transistor, but Shockley wasn’t bashful about being
known as the co-inventor. And now, eleven years later, Noyce wasn’t
turning bashful, either.
Noyce knew exactly what he possessed in
this integrated circuit, or microchip, as the press would call it.
Noyce knew that he had discovered the road to El
Dorado.
El Dorado was the vast, still-virgin
terrain of electricity. Electricity was already so familiar a part
of everyday life, only a few research engineers understood just how
young and unexplored the terrain actually was. It had been only
eighty years since Edison invented the lightbulb in 1879. It had
been less than fifty years since Lee De Forest, an inventor from
Council Bluffs, Iowa, had invented the vacuum tube. The vacuum tube
was based on the lightbulb, but the vacuum tube opened up fields
the lightbulb did not even suggest: long-distance radio and
telephone communication. Over the past ten years, since Bardeen and
Brattain had invented it in 1948, the transistor had become the
modern replacement for the vacuum tube. And now came Kilby’s and
Noyce’s integrated circuit. The integrated circuit was based on the
transistor, but the integrated circuit opened up fields the
transistor did not even suggest. The integrated circuit made it
possible to create miniature computers, to put all the functions of
the mighty ENIAC on a panel the size of a playing card. Thereby the
integrated circuit opened up every field of engineering imaginable,
from voyages to the moon to robots, and many fields that had never
been imagined, such as electronic guidance counseling. It opened up
so many fields that no one could even come up with a single name to
include them all. “The second industrial revolution,” “the age of
the computer,” “the microchip universe,” “the electronic grid”—none
of them, not even the handy neologism “high tech,” could encompass
all the implications.
The importance of the integrated
circuit was certainly not lost on John Carter and Fairchild Camera
back in New York. In 1959 they exercised their option to buy
Fairchild Semiconductor for $3 million. The next day Noyce, Moore,
Hoerni, and the other five former Shockley elves woke up rich, or
richer than they had ever dreamed of being. Each received $250,000
worth of Fairchild stock.
Josiah Grinnell grew livid on the
subject of alcohol. But he had nothing against money. He would have
approved.
Noyce didn’t know what to make of his new wealth. He was thirty-one years old. For the past four years, ever since he had gone to work for Shockley, the semiconductor business had not seemed like a business at all but an esoteric game in which young electrical engineers competed for attaboys and the occasional round of applause after delivering a paper before the IEEE, the Institute of Electrical and Electronics Engineers. It was a game supercharged by the fact that it was being played in the real world, to use a term that annoyed scientists in the universities. Someone—Arnold Beckman, Sherman Fairchild, whoever—was betting real money, and other bands of young elves, at Texas Instruments, RCA, Bell, were out there competing with you by the real world’s rules, which required that you be practical as well as brilliant. Noyce started working for Fairchild Semiconductor in 1957 for twelve thousand dollars a year. When it came to money, he had assumed that he, like his father, would always be on somebody’s payroll. Now, in 1959, when he talked to his father, he told him, “The money doesn’t seem real. It’s just a way of keeping score.”
Noyce took his family to visit his
parents fairly often. He and Betty now had three children, Bill,
Penny, and Polly, who was a year old. When they visited the folks,
they went off to church on Sunday with the folks, as if it were all
very much a part of their lives. In fact, Noyce had started
drifting away from Congregationalism and the whole matter of
churchgoing after he entered MIT. It was not a question of
rejecting it. He never rejected anything about his upbringing in
Grinnell. It was just that he was heading off somewhere else, down
a different road.
In that respect Noyce was like a great
many bright young men and women from Dissenting Protestant families
in the Middle West after the Second World War. They had been raised
as Baptists, Methodists, Congregationalists, Presbyterians, United
Brethren, whatever. They had been led through the church door and
prodded toward religion, but it had never come alive for them.
Sundays made their skulls feel like dried-out husks. So they slowly
walked away from the church and silently, without so much as a
growl of rebellion, congratulated themselves on their independence
of mind and headed into another way of life. Only decades later, in
most cases, would they discover how, absentmindedly, inexplicably,
they had brought the old ways along for the journey nonetheless. It
was as if … through some extraordinary mistake … they had been sewn
into the linings of their coats!
Now that he had some money, Bob Noyce
bought a bigger house. His and Betty’s fourth child, Margaret, was
born in 1960, and they wanted each child to have a bedroom. But the
thought of moving into any of the “best” neighborhoods in the Palo
Alto area never even crossed his mind. The best neighborhoods were
to be found in Atherton, in Burlingame, which was known as very
social, or in the swell old sections of Palo Alto, near Stanford
University. Instead, Noyce bought a California version of a French
country house in Los Altos, a white stucco house with a steeply
pitched roof. It was scenic up there in the hills, and cooler in
the summer than it was down in the flatlands near the bay. The
house had plenty of room, and he and Betty would be living a great
deal better than most couples their age, but Los Altos had no
social cachet and the house was not going to make House & Garden come banging on the door. No one
could accuse them of being ostentatious.
John Carter appointed Noyce general
manager of the entire division, Fairchild Semiconductor, which was
suddenly one of the hottest new outfits in the business world. NASA
chose Noyce’s integrated circuits for the first computers that
astronauts would use on board their spacecraft (in the Gemini
program). After that, orders poured in. In ten years Fairchild
sales rose from a few thousand dollars a year to $130 million, and
the number of employees rose from the original band of elves to
twelve thousand. As the general manager, Noyce now had to deal with
a matter Shockley had dealt with clumsily and prematurely, namely,
new management techniques for this new industry.
One day John Carter came to Mountain
View for a close look at Noyce’s semiconductor operation. Carter’s
office in Syosset, Long Island, arranged for a limousine and
chauffeur to be at his disposal while he was in California. So
Carter arrived at the tilt-up concrete building in Mountain View in
the back of a black Cadillac limousine with a driver in the front
wearing the complete chauffeur’s uniform—the black suit, the white
shirt, the black necktie, and the black visored cap. That in itself
was enough to turn heads at Fairchild Semiconductor. Nobody had
ever seen a limousine and a chauffeur out there before. But that
wasn’t what fixed the day in everybody’s memory. It was the fact
that the driver stayed out there for almost eight hours,
doing nothing. He stayed out there in his
uniform, with his visored hat on, in the front seat of the
limousine, all day, doing nothing but waiting for a man who was
somewhere inside. John Carter was inside having a terrific chief
executive officer’s time for himself. He took a tour of the plant,
he held conferences, he looked at figures, he nodded with
satisfaction, he beamed his urbane Fifty-seventh Street Biggie CEO
charm. And the driver sat out there all day engaged in the task of
supporting a visored cap with his head. People started leaving
their workbenches and going to the front windows just to take a
look at this phenomenon. It seemed that bizarre. Here was a serf
who did nothing all day but wait outside a
door in order to be at the service of the haunches of his master
instantly, whenever those haunches and the paunch and the jowls
might decide to reappear. It wasn’t merely that this little peek at
the New York—style corporate high life was unusual out here in the
brown hills of the Santa Clara Valley. It was that it seemed
terribly wrong.
A certain instinct Noyce had about this
new industry and the people who worked in it began to take on the
outlines of a concept. Corporations in the East adopted a feudal
approach to organization, without even being aware of it. There
were kings and lords, and there were vassals, soldiers, yeomen, and
serfs, with layers of protocol and perquisites, such as the car and
driver, to symbolize superiority and establish the boundary lines.
Back East the CEOs had offices with carved paneling, fake
fireplaces, escritoires, bergères, leather-bound books, and
dressing rooms, like a suite in a baronial manor house. Fairchild
Semiconductor needed a strict operating structure, particularly in
this period of rapid growth, but it did not need a social
structure. In fact, nothing could be worse. Noyce realized how much
he detested the Eastern corporate system of class and status with
its endless gradations, topped off by the CEOs and vice-presidents
who conducted their daily lives as if they were a corporate court
and aristocracy. He rejected the idea of a social hierarchy at
Fairchild.
Not only would there be no limousines
and chauffeurs, there would not even be any reserved parking
places. Work began at 8 a.m. for one and all, and it would be first
come, first served, in the parking lot, for Noyce, Gordon Moore,
Jean Hoerni, and everybody else. “If you come late,” Noyce liked to
say, “you just have to park in the back forty.” And there would be
no baronial office suites. The glorified warehouse on Charleston
Road was divided into work bays and a couple of rows of cramped
office cubicles. The cubicles were never improved. The decor
remained Glorified Warehouse, and the doors were always open. Half
the time Noyce, the chief administrator, was out in the laboratory
anyway, wearing his white lab coat. Noyce came to work in a coat
and tie, but soon the jacket and the tie were off, and that was
fine for any other man in the place, too. There were no rules of
dress at all, except for some unwritten ones. Dress should be
modest, modest in the social as well as the moral sense. At
Fairchild there were no hard-worsted double-breasted pinstripe
suits and shepherd’s-check neckties. Sharp, elegant, fashionable,
or alluring dress was a social blunder. Shabbiness was not a sin.
Ostentation was.
During the start-up phase at Fairchild
Semiconductor there had been no sense of bosses and employees.
There had been only a common sense of struggle out on a frontier.
Everyone had internalized the goals of the venture. They didn’t
need exhortations from superiors. Besides, everyone had been so
young! Noyce, the administrator or chief coordinator, or whatever
he should be called, had been just about the oldest person on the
premises, and he had been barely thirty. And now, in the early
1960s, thanks to his athletic build and his dark brown hair with
the Campus Kid hairline, he still looked very young. As Fairchild
expanded, Noyce didn’t even bother trying to find “experienced
management personnel.” Out here in California, in the semiconductor
industry, they didn’t exist. Instead, he recruited engineers right
out of the colleges and graduate schools and gave them major
responsibilities right off the bat. There was no “staff,” no “top
management” other than the eight partners themselves. Major
decisions were not bucked up a chain of command. Noyce held weekly
meetings of people from all parts of the operation, and whatever
had to be worked out was worked out right there in the room. Noyce
wanted them all to keep internalizing the company’s goals and to
provide their own motivations, just as they had during the start-up
phase. If they did that, they would have the capacity to make their
own decisions.
The young engineers who came to work
for Fairchild could scarcely believe how much responsibility was
suddenly thrust upon them. Some twenty-four-year-old just out of
graduate school would find himself in charge of a major project
with no one looking over his shoulder. A problem would come up, and
he couldn’t stand it, and he would go to Noyce and hyperventilate
and ask him what to do. And Noyce would lower his head, turn on his
100-ampere eyes, listen, and say, “Look, here are your guidelines.
You’ve got to consider A, you’ve got to consider B, and you’ve got
to consider C.” Then he would turn on the Gary Cooper smile: “But
if you think I’m going to make your decision for you, you’re
mistaken. Hey … it’s your ass.”
Back East, in the conventional
corporation, any functionary wishing to make an unusually large
purchase had to have the approval of a superior or two or three
superiors or even a committee, a procedure that ate up days, weeks,
in paperwork. Noyce turned that around. At Fairchild any engineer,
even a weenie just out of Caltech, could make any purchase he
wanted, no matter how enormous, unless someone else objected
strongly enough to try to stop it. Noyce called this the Short
Circuit Paper Route. There was only one piece of paper involved,
the piece of paper the engineer handed somebody in the purchasing
department.
The spirit of the start-up phase! My
God! Who could forget the exhilaration of the past few years! To be
young and free out here on the silicon frontier! Noyce was
determined to maintain that spirit during the expansion phase. And
for the time being at least, here in the early 1960s, the notion of
a permanent start-up operation didn’t seem too far-fetched.
Fairchild was unable to coast on the tremendous advantage Noyce’s
invention of the integrated circuit had provided. Competitors were
setting up shop in the Santa Clara Valley like gold rushers. And
where did they come from? Why, from Fairchild itself! And how could
that be? Nothing to it … Defection capital!
Defectors (or redefectors) from
Fairchild started up more than fifty companies, all making or
supplying microchips. Raytheon Semiconductor, Signetics, General
Microelectronics, Intersil, Advanced Micro Devices, Qualidyne—off
they spun, each with a sillier pseudo-tech engineerologism for a
name than the one before. Defectors! What a merry game that was.
Jean Hoerni and three of the other original eight defectors from
Shockley defected from Fairchild to form what would soon become
known as Teledyne Semiconductors, and that was only round one.
After all, why not make all the money for yourself! The urge to use
defection capital was so irresistible that the word “defection,”
with its note of betrayal, withered away. Defectors were merely the
Fairchildren, as Adam Smith dubbed them. Occasionally defectors
from other companies, such as the men from Texas Instruments and
Westinghouse who started Siliconix, moved into the Santa Clara
Valley to join the free-for-all. But it was the Fairchildren who
turned the Santa Clara Valley into the Silicon Valley. Acre by acre
the fruit trees were uprooted, and two-story Silicon Modern office
buildings and factories went up. The state of California built a
new freeway past the area, Route 280. Children heard the phrase
“Silicon Valley” so often, they grew up thinking it was the name on
the map.
Everywhere the Fairchild émigrés went,
they took the Noyce approach with them. It wasn’t enough to start
up a company; you had to start up a community, a community in which
there were no social distinctions, and it was first come, first
served, in the parking lot, and everyone was supposed to
internalize the common goals. The atmosphere of the new companies
was so democratic, it startled businessmen from the East. Some
fifty-five-year-old biggie with his jowls swelling up smoothly from
out of his F. R. Tripler modified-spread white collar and silk
jacquard-print necktie would call up from GE or RCA and say, “This
is Harold B. Thatchwaite,” and the twenty-three-year-old secretary
on the other end of the line, out in the Silicon Valley, would say
in one of those sunny blond pale blue-eyed California voices, “Just
a minute, Hal, Jack will be right with you.” And once he got to
California and met this Jack for the first time, there he would be,
the CEO himself, all of thirty-three years old, wearing no jacket,
no necktie, just a checked shirt, khaki pants, and a pair of
moccasins with welted seams the size of jumper cables. Naturally
the first sounds out of this Jack’s mouth would be “Hi,
Hal.”
It was the 1960s, and people in the
East were hearing a lot about California surfers, California
bikers, hot-rodders, car customizers, California hippies, and
political protesters, and the picture they got was of young people
in jeans and T-shirts who were casual, spontaneous, impulsive,
emotional, sensual, undisciplined, and obnoxiously proud of it. So
these semiconductor outfits in the Silicon Valley with their CEOs
dressed like camp counselors struck them as the business versions
of the same thing.
They couldn’t have been more wrong. The
new breed of the Silicon Valley lived for work. They were
disciplined to the point of back spasms. They worked long hours and
kept working on weekends. They became absorbed in their companies
the way men once had in the palmy days of the automobile industry.
In the Silicon Valley a young engineer would go to work at eight in
the morning, work right through lunch, leave the plant at
six-thirty or seven, drive home, play with the baby for half an
hour, have dinner with his wife, get in bed with her, give her a
quick toss, then get up and leave her there in the dark and work at
his desk for two or three hours on “a coupla things I had to bring
home with me.”
Or else he would leave the plant and
decide, Well, maybe he would drop in at the Wagon Wheel for a drink
before he went home. Every year there was some place, the Wagon
Wheel, Chez Yvonne, Rickey’s, the Roundhouse, where members of this
esoteric fraternity, the young men and women of the semiconductor
industry, would head after work to have a drink and gossip and brag
and trade war stories about phase jitters, phantom circuits, bubble
memories, pulse trains, bounceless contacts, burst modes, leapfrog
tests, p-n junctions, sleeping-sickness modes, slow-death episodes,
RAMs, NAKs, MOSes, PCMs, PROMs, PROM blowers, PROM burners, PROM
blasters, and teramagnitudes, meaning multiples of a million
millions. So then he wouldn’t get home until nine, and the baby was
asleep, and dinner was cold, and the wife was frosted off, and he
would stand there and cup his hands as if making an imaginary
snowball and try to explain to her … while his mind trailed off to
other matters, LSIs, VLSIs, alpha flux, de-rezzing, forward biases,
parasitic signals, and that terasexy little cookie from Signetics
he had met at the Wagon Wheel, who understood such
things.
It was not a great way of life for
marriages. By the late 1960s the toll of divorces seemed to those
in the business to be as great as that of NASA’s boomtowns, Cocoa
Beach, Florida, and Clear Lake, Texas, where other young engineers
were giving themselves over to a new technology as if it were a
religious mission. The second time around they tended to
“intramarry.” They married women who worked for Silicon Valley
companies and who could comprehend and even learn to live with
their twenty-four-hour obsessions. In the Silicon Valley an
engineer was under pressure to reinvent the integrated circuit
every six months. In 1959 Noyce’s invention had made it possible to
put an entire electrical circuit on a chip of silicon the size of a
fingernail. By 1964 you had to know how to put ten circuits on a
chip that size just to enter the game, and the stakes kept rising.
Six years later the figure was one thousand circuits on a single
chip; six years after that it would be thirty-two thousand—and
everyone was talking about how the real breakthrough would be
sixty-four thousand. Noyce himself led the race; by 1968 he had a
dozen new integrated-circuit and transistor patents. And what
amazing things such miniaturization made possible! In December 1968
NASA sent the first manned flight to the moon, Apollo 8. Three
astronauts, Frank Borman, James Lovell, and William Anders, flew
into earth orbit, then fired a rocket at precisely the right moment
in order to break free of the earth’s gravitational field and fly
through the minute “window” in space that would put them on course
to the moon rather than into orbit around the sun, from which there
could be no return. They flew to the moon, went into orbit around
it, saw the dark side, which no one had ever seen, not even with a
telescope, then fired a rocket at precisely the right moment in
order to break free of the moon’s gravitational pull and go into
the proper trajectory for their return to earth. None of it would
have been possible without onboard computers. People were beginning
to talk about all that the space program was doing for the computer
sciences. Noyce knew it was the other way around. Only the
existence of a miniature computer two feet long, one foot wide, and
six inches thick—exactly three thousand times smaller than the old
ENIAC and far faster and more reliable—made the flight of Apollo 8
possible. And there would have been no miniature computer without
the integrated circuits invented by Noyce and Kilby and refined by
Noyce and the young semiconductor zealots of the Silicon Valley,
the new breed who were building the road to El Dorado.
Noyce used to go into a slow burn that
year, 1968, when the newspapers, the magazines, and the television
networks got on the subject of the youth. The
youth was a favorite topic in 1968. Riots broke out on the
campuses as the antiwar movement reached its peak following North
Vietnam’s Tet offensive. Black youths rioted in the cities. The
Yippies, supposedly a coalition of hippies and campus activists,
managed to sabotage the Democratic National Convention by setting
off some highly televised street riots. The press seemed to enjoy
presenting these youths as the avant-garde who were sweeping aside
the politics and morals of the past and shaping America’s future.
The French writer Jean-François Revel toured American campuses and
called the radical youth homo novus, “the
New Man,” as if they were the latest, most advanced product of
human evolution itself, after the manner of the superchildren in
Arthur C. Clarke’s Childhood’s
End.
Homo novus? As
Noyce saw it, these so-called radical youth movements were shot
through with a yearning for a preindustrial Arcadia. They wanted,
or thought they wanted, to return to the earth and live on organic
vegetables and play folk songs from the sixteenth and seventeenth
centuries. They were antitechnology. They looked upon science as an
instrument monopolized by the military-industrial complex. They
used this phrase, “the military-industrial complex,” all the time.
If industry or the military underwrote scientific research in the
universities—and they underwrote a great deal of it—then that
research was evil. The universities were to be pure and above
exploitation, except, of course, by ideologues of the Left. The
homo novus had set up a chain of logic that
went as follows: since science equals the military-industrial
complex, and the military-industrial complex equals capitalism, and
capitalism equals fascism, therefore science equals fascism. And
therefore these much-vaunted radical youths, these shapers of the
future, attacked the forward positions of American technology,
including the space program and the very idea of the computer. And
therefore these creators of the future were what? They were
Luddites. They wanted to destroy the new machines. They were the
reactionaries of the new age. They were an avant-garde to the rear.
They wanted to call off the future. They were stillborn, ossified,
prematurely senile.
If you wanted to talk about the
creators of the future—well, here they were! Here in the Silicon
Valley! Just before Apollo 8 circled the moon, Bob Noyce turned
forty-one. By age forty-one he had become such a good skier, people
were urging him to enter competitions. When his daughter Penny was
almost fourteen, he asked her what she wanted for her birthday, and
she said she wanted to drop from an airplane by parachute. Noyce
managed to convince her to settle for glider lessons instead. Then,
because it made him restless to just stand around an airfield and
watch her soar up above, he took flying lessons, bought an
airplane, and began flying the family up through the mountain
passes to Aspen, Colorado, for skiing weekends. He had the same
lean, powerful build as he had had twenty years before, when he was
on the swimming team at Grinnell College. He had the same thick
dark brown hair and the same hairline. It looked as if every hair
in his head were nailed in. He looked as if he could walk out the
door any time he wanted to and win another Midwest Conference
diving championship. And he was one of the oldest CEOs in the semiconductor business! He was the
Edison of the bunch! He was the father of
the Silicon Valley!
The rest of the hotshots were younger.
It was a business dominated by people in their twenties and
thirties. In the Silicon Valley there was a phenomenon known as
burnout. After five or ten years of obsessive racing for the
semiconductor high stakes, five or ten years of lab work, work
lunches, workaholic drinks at the Wagon Wheel, and workbattering of
the wife and children, an engineer would reach his middle thirties
and wake up one day—and he was finished. The game was over. It was
called burnout, suggesting mental and physical exhaustion brought
about by overwork. But Noyce was convinced it was something else
entirely. It was … age, or age and status.
In the semiconductor business, research engineering was like
pitching in baseball; it was 60 percent of the game. Semiconductor
research was one of those highly mathematical sciences, such as
microbiology, in which, for reasons one could only guess at, the
great flashes, the critical moments of inspiration, came mainly to
those who were young, often to men in their twenties. The
thirty-five-year-old burnouts weren’t suffering from exhaustion, as
Noyce saw it. They were being overwhelmed, outperformed, by the
younger talent coming up behind them. It wasn’t the central nervous
system that was collapsing, it was the ego.
Now here you saw youth in the vanguard,
on the leading edge! Here you saw the youths who were, in fact,
shaping the future! Here you saw, if you insisted on the term, the
homo novus!
But why insist? For they were also of
the same stripe as Josiah Grinnell, who had founded Grinnell.,
Iowa, at the age of thirty-three.
It was in 1968 that Noyce pulled off the redefection of all redefections. Fairchild Semiconductor had generated tremendous profits for the parent company back East. It now appeared to Noyce that John Carter and Sherman Fairchild had been diverting too much of that money into new start-up ventures outside the semiconductor field. As a matter of fact, Noyce disliked many things “back East.” He disliked the periodic trips to New York, for which he dressed in gray suits, white shirts, and neckties and reported to the royal corporate court and wasted days trying to bring them up-to-date on what was happening in California. Fairchild was rather enlightened, for an Eastern corporation, but the truth was, there was no one back East who understood how to run a corporation in the United States in the second half of the twentieth century. Back East they had never progressed beyond the year 1940. Consequently, they were still hobbled by all the primitive stupidities of bureaucratism and labor-management battles. They didn’t have the foggiest comprehension of the Silicon Valley idea of a corporate community. The brightest young businessmen in the East were trained—most notably at Harvard Business School—to be little Machiavellian princes. Greed and strategy were all that mattered. They were trained for failure.
Noyce and Gordon Moore, two of the
three original eight Shockley elves still at Fairchild, decided to
form their own company. They went to Arthur Rock, who had helped
provide the start-up money for Fairchild Semiconductor when he was
at Hayden Stone. Now Rock had his own venture capital operation.
Noyce took great pleasure in going through none of the steps in
corporate formation that the business schools talked about. He and
Moore didn’t even write up a proposal. They merely told Rock what
they wanted to do and put up $500,000 of their own money, $250,000
each. That seemed to impress Rock more than anything they could
possibly have written down, and he rounded up $2.5 million of the
start-up money. A few months later another $300,000 came, this time
from Grinnell College. Noyce had been on the college’s board of
trustees since 1962, and a board member had asked him to give the
college a chance to invest, should the day come when he started his
own company. So Grinnell College became one of the gamblers betting
on Noyce and Intet—the pseudo-tech engineerologism Noyce and Moore
dreamed up as the corporate name. Josiah Grinnell would have loved
it.
The defection of Noyce and Moore from
Fairchild was an earthquake even within an industry jaded by the
very subject of defections. In the Silicon Valley everybody had
looked upon Fairchild as Noyce’s company. He was the magnet that
held the place together. With Noyce gone, it was obvious that the
entire workforce would be up for grabs. As one wag put it, “People
were practically driving trucks over to Fairchild Semiconductor and
loading up with employees.” Fairchild responded by pulling off one
of the grossest raids in corporate history. One day the troops who
were left at Fairchild looked across their partitions and saw a
platoon of young men with terrific suntans moving into the
executive office cubicles. They would always remember what terrific
suntans they had. They were C. Lester Hogan, chief executive
officer of the Motorola semiconductor division in Phoenix, and his
top echelon of engineers and administrators. Or, rather, C. Lester
Hogan of Motorola until yesterday. Fairchild had hired the whole
bunch away from Motorola and installed them in place of Noyce &
Co. like a matched set. There was plenty of sunshine in the Santa
Clara Valley, but nobody here had suntans like this bunch from
Phoenix. Fairchild had lured the leader of the young sun-gods out
of the Arizona desert in the most direct way imaginable. He had
offered him an absolute fortune in money and stock. Hogan received
so much, the crowd at the Wagon Wheel said, that henceforth wealth
in the Silicon Valley would be measured in units called
hogans.
Noyce and Moore, meanwhile, started
Intel up in a tilt-up concrete building that Jean Hoerni and his
group had built but no longer used, in Santa Clara, which was near
Mountain View. Once again there was an echo of Shockley. They
opened up shop with a dozen bright young electrical engineers, plus
a few clerical and maintenance people, and bet everything on
research and product development. Noyce and Moore, like Shockley,
put on the white coats and worked at the laboratory tables. They
would not be competing with Fairchild or anyone else in the already
established semiconductor markets. They had decided to move into
the most backward area of computer technology, which was data
storage, or “memory.” A computer’s memory was stored in ceramic
ringlets known as cores. Each ringlet contained one “bit” of
information, a “yes” or a “no,” in the logic of the binary system
of mathematics that computers employ. Within two years Noyce and
Moore had developed the 1103 memory chip, a chip of silicon and
polysilicon the size of two letters in a line of type. Each chip
contained four thousand transistors, did the work of a thousand
ceramic ringlets, and did it faster. The production line still
consisted of rows of women sitting at tables as in the old
shed-and-rafter days, but the work bays now looked like something
out of an intergalactic adventure movie. The women engraved the
circuits on the silicon photographically, wearing antiseptic Mars
Voyage suits, headgear, and gloves because a single speck of dust
could ruin one of the miniature circuits. The circuits were so
small that “miniature” no longer sounded small enough. The new word
was “microminiature.” Everything now took place in an
air-conditioned ice cube of vinyl tiles, stainless steel,
fluorescent lighting, and backlit plastic.
The 1103 memory chip opened up such a
lucrative field that other companies, including Fairchild, fought
desperately just to occupy the number-two position, filling the
orders Intel couldn’t take care of. At the end of Intel’s first
year in business, which had been devoted almost exclusively to
research, sales totaled less than three thousand dollars and the
workforce numbered forty-two. In 1972, thanks largely to the 1103
chip, sales were $23.4 million and the workforce numbered 1,002. In
the next year sales almost tripled, to $66 million, and the
workforce increased two and a half times, to 2,528.
So Noyce had the chance to run a new
company from start-up to full production precisely the way he
thought Shockley should have run his in Palo Alto back in the late
1950s. From the beginning Noyce gave all the engineers and most of
the office workers stock options. He had learned at Fairchild that
in a business so dependent upon research, stock options were a more
powerful incentive than profit sharing. People sharing profits
naturally wanted to concentrate on products that were already
profitable rather than plunge into avant-garde research that would
not pay off in the short run even if it was successful. But people
with stock options lived for research breakthroughs. The news would
send a semiconductor company’s stock up immediately, regardless of
profits.
Noyce’s idea was that every employee
should feel that he could go as far and as fast in this industry as
his talent would take him. He didn’t want any employee to look at
the structure of Intel and see a complex set of hurdles. It went
without saying that there would be no social hierarchy at Intel, no
executive suites, no pinstripe set, no reserved parking places or
other symbols of the hierarchy. But Noyce wanted to go further. He
had never liked the business of the office cubicles at Fairchild.
As miserable as they were, the mere possession of one symbolized
superior rank. At Intel executives would not be walled off in
offices. Everybody would be in one big room. There would be nothing
but low partitions to separate Noyce or anyone else from the
lowliest stock boys trundling in the accordion printout paper. The
whole place became like a shed. When they first moved into the
building, Noyce worked at an old, scratched, secondhand metal desk.
As the company expanded, Noyce kept the same desk, and new
stenographers, just hired, were given desks that were not only
newer but bigger and better than his. Everybody noticed the old
beat-up desk, since there was nothing to keep anybody from looking
at every inch of Noyce’s office space. Noyce enjoyed this
subversion of the Eastern corporate protocol of small metal desks
for underlings and large wooden desks for overlords.
At Intel, Noyce decided to eliminate
the notion of levels of management altogether. He and Moore ran the
show; that much was clear. But below them there were only the
strategic business segments, as they called them. They were
comparable to the major departments in an orthodox corporation, but
they had far more autonomy. Each was run like a separate
corporation. Middle managers at Intel had more responsibility than
most vice-presidents back East. They were also much younger and got
lower-back pain and migraines earlier. At Intel, if the marketing
division had to make a major decision that would affect the
engineering division, the problem was not routed up a hierarchy to
a layer of executives who oversaw both departments. Instead,
“councils,” made up of people already working on the line in the
divisions that were affected, would meet and work it out
themselves. The councils moved horizontally, from problem to
problem. They had no vested power. They were not governing bodies
but coordinating councils.
Noyce was a great believer in meetings.
The people in each department or work unit were encouraged to
convene meetings whenever the spirit moved them. There were rooms
set aside for meetings at Intel, and they were available on a first
come, first served basis, just like the parking spaces. Often
meetings were held at lunchtime. That was not a policy; it was
merely an example set by Noyce. There were no executive lunches at
Intel. Back East, in New York, executives treated lunch as a daily
feast of the nobility, a sumptuous celebration of their eminence,
in the Lucullan expense-account restaurants of Manhattan. The
restaurants in the East and West Fifties of Manhattan were like
something out of a dream. They recruited chefs from all over Europe
and the Orient. Pasta primavera, saucisson, sorrel mousse, homard
cardinal, terrine de legumes Montesquieu, paillard de pigeon,
medallions of beef Chinese Gordon, veal Valdostana, Verbena roast
turkey with Hayman sweet potatoes flown in from the eastern shore
of Virginia, raspberry soufflé, baked Alaska, zabaglione, pear
torte, crème brûlée—and the wines! and the brandies! and the port!
the Sambucca! the cigars! and the decor!—walls with lacquered
woodwork and winking mirrors and sconces with little pleated
peach-colored shades, all of it designed by the very same
decorators who walked duchesses to parties for Halston on Eaton
Square!—and captains and maître d’s who made a fuss over you in
movie French in front of your clients and friends and fellow
overlords!—it was Mount Olympus in mid-Manhattan every day from
12:30 to 3 p.m., and you emerged into the pearl-gray light of the
city with such ambrosia pumping through your veins that even the
clotted streets with the garbagemen backing up their grinder trucks
and yelling, “’Mon back,’mon back,’mon back,’mon back,” as if
talking Urban Chippewa—even this became part of the bliss of one’s
eminence in the corporate world! There were many chief executive
officers who kept their headquarters in New York long after the
last rational reason for doing so had vanished … because of the
ineffable experience of being a CEO and having lunch five days a
week in Manhattan!
At Intel lunch had a different look to
it. You could tell when it was noon at Intel because at noon men in
white aprons arrived at the front entrance gasping from the weight
of the trays they were carrying. The trays were loaded down with
deli sandwiches and waxed cups full of drinks with clear plastic
tops, with globules of Sprite or Diet Shasta sliding around the
tops on the inside. That was your lunch. You ate some sandwiches
made of roast beef or chicken sliced into translucent rectangles by
a machine in a processing plant and then reassembled on the bread
in layers that gave off dank whiffs of hormones and chemicals, and
you washed it down with Sprite or Diet Shasta, and you sat amid the
particle-board partitions and metal desktops, and you kept your
mind on your committee meeting. That was what Noyce did, and that
was what everybody else did.
If Noyce called a meeting, then he set
the agenda. But after that, everybody was an equal. If you were a
young engineer and you had an idea you wanted to get across, you
were supposed to speak up and challenge Noyce or anybody else who
didn’t get it right away. This was a little bit of heaven. You were
face-to-face with the inventor, or the co-inventor, of the very
road to El Dorado, and he was only forty-one years old, and he was
listening to you. He had his head down and his eyes beamed up at
you, and he was absorbing it all. He wasn’t a boss. He was Gary
Cooper! He was here to help you be self-reliant and do as much as
you could on your own. This wasn’t a corporation … it was a
congregation.
By the same token, there were sermons
and homilies. At Intel everyone—Noyce included—was expected to
attend sessions on “the Intel Culture.” At these sessions the
principles by which the company was run were spelled out and
discussed. Some of the discussions had to do specifically with
matters of marketing or production. Others had to do with the
broadest philosophical principles of Intel and were explained via
the Socratic method at management seminars by Intel’s number-three
man, Andrew Grove.
Grove would say, “How would you sum up
the Intel approach?”
Many hands would go up, and Grove would
choose one, and the eager communicant would say, “At Intel you
don’t wait for someone else to do it. You take the ball yourself
and you run with it.”
And Grove would say, “Wrong. At Intel
you take the ball yourself and you let the air out and you fold the
ball up and put it in your pocket. Then you take another ball and
run with it, and when you’ve crossed the goal you take the second
ball out of your pocket and reinflate it and score twelve points
instead of six.”
Grove was the most colorful person at
Intel. He was a thin man in his mid-thirties with tight black curls
all over his head. The curls ran down into a pair of muttonchops
that seemed to run together like goulash with his mustache. Every
day he wore either a turtleneck jersey or an open shirt with an
ornamental chain dangling from his neck. He struck outsiders as the
epitome of a style of the early 1970s known as California Groovy.
In fact, Grove was the epitome of the religious principle that the
greater the freedom—for example, the freedom to dress as you
pleased—the greater the obligation to exercise discipline. Grove’s
own groovy outfits were neat and clean. The truth was, he was a bit
of a bear on the subject of neatness and cleanliness. He held what
he called “Mr. Clean inspections,” showing up in various work areas
wearing his muttonchops and handlebar mustache and his Harry
Belafonte shirt and the gleaming chainwork, inspecting offices for
books stacked too high, papers strewn over desktops, doing
everything short of running a white glove over the shelves, as if
this were some California Groovy Communal version of Parris Island.
Grove was also the inspiration for such items as the performance
ratings and the Late List. Each employee received a report card
periodically with a grade based on certain presumably objective
standards. The grades were superior, exceeds
requirements, meets requirements, marginally meets
requirements, and does not meet
requirements. This was the equivalent of A, B, C, D, and F
in school. Noyce was all for it. “If you’re ambitious and
hardworking,” he would say, “you want to be
told how you’re doing.” In Noyce’s view, most of the young hotshots
who were coming to work for Intel had never had the benefit of
honest grades in their lives. In the late 1960s and early 1970s
college faculties had been under pressure to give all students
passing marks so they wouldn’t have to go off to Vietnam, and they
had caved in, until the entire grading system was meaningless. At
Intel they would learn what measuring up meant. The Late List was
also like something from a strict school. Everyone was expected at
work at 8 a.m. A record was kept of how many employees arrived
after 8:10 a.m. If 7 percent or more were late for three months,
then everybody in the section had to start signing in. There was no
inevitable penalty for being late, however. It was up to each
department head to make of the Late List what he saw fit. If he
knew a man was working overtime every night on a certain project,
then his presence on the Late List would probably be regarded as
nothing more than that, a line on a piece of paper. At bottom—and
this was part of the Intel Culture—Noyce and Grove knew that
penalties were very nearly useless. Things like report cards and
Late Lists worked only if they stimulated
self-discipline.
The worst form of discipline at Intel
was to be called on the Antron II carpet before Noyce himself.
Noyce insisted on ethical behavior in all dealings within the
company and between companies. That was the word people used to
describe his approach, “ethical”; that and “moral.” Noyce was known
as a very aggressive businessman, but he stopped short of cutting
throats—and he never talked about revenge. He would not tolerate
peccadilloes such as little personal I’ll-reimburseit-on-Monday
dips into the petty cash. Noyce’s Strong Silent stare, his Gary
Cooper approach, could be mortifying as well as inspiring. When he
was angry, his baritone voice never rose. He seemed like a powerful
creature that only through the greatest self-control was refraining
from an attack. He somehow created the impression that if pushed
one more inch, he would fight. As a consequence he seldom had to.
No one ever trifled with Bob Noyce.
Noyce managed to create an ethical
universe within an inherently amoral setting: the American business
corporation in the second half of the twentieth century. At Intel
there was good and there was evil, and there was freedom and there
was discipline, and to an extraordinary degree employees
internalized these matters, like members of Cromwell’s army. As the
workforce grew at Intel, and the profits soared, labor unions,
chiefly the International Association of Machinists and Aerospace
Workers, the Teamsters, and the Stationary Engineers Union, made
several attempts to organize Intel. Noyce made it known, albeit
quietly, that he regarded unionization as a death threat to Intel,
and to the semiconductor industry generally. Labor-management
battles were part of the ancient terrain of the East. If Intel was
divided into workers and bosses, with the implication that each
side had to squeeze its money out of the hides of the other, the
enterprise would be finished. Motivation would no longer be
internal; it would be objectified in the deadly form of work rules
and grievance procedures. The one time it came down to a vote, the
union lost out by the considerable margin of four to one. Intel’s
employees agreed with Noyce. Unions were part of the dead hand of
the past … Noyce and Intel were on the road to El
Dorado.
By the early 1970s Noyce and Moore’s
1103 memory chip had given this brand-new company an entire corner
of the semiconductor market. But that was only the start. Now a
thirty-two-year-old Intel engineer named Ted Hoff came up with an
invention as important as Noyce’s integrated circuit had been a
decade earlier: the microprocessor. The microprocessor was known as
“the computer on a chip,” because it put all the arithmetic and
logic functions of a computer on a chip the size of the head of a
tack. The possibilities for creating and using small computers now
surpassed most people’s imagining, even within the industry. One of
the more obvious possibilities was placing a small computer in the
steering and braking mechanisms of a car that would take over for
the driver in case of a skid or excessive speed on a
curve.
In Ted Hoff, Noyce was looking at proof
enough of his hypothesis that out here on the electrical frontier
the great flashes came to the young. Hoff was about the same age
Noyce had been when he invented his integrated circuit. The glory
was now Hoff’s. But Noyce took Hoff’s triumph as proof of a second
hypothesis: If you created the right type of corporate community,
the right type of autonomous congregation, genius would flower.
Certainly the corporate numbers were flowering. The news of the
microprocessor, on top of the success of the 1103 memory chip,
nearly trebled the value of Intel stock from 1971 to 1973. Noyce’s
own holdings were now worth $18.5 million. He was in roughly the
same position as Josiah Grinnell a hundred years before, when
Grinnell brought the Rock Island Railroad into Iowa.
Noyce continued to live in the house in the Los Altos hills that he had bought in 1960. He was not reluctant to spend his money; he was merely reluctant to show it. He spent a fortune on landscaping, but you could do that and the world would be none the wiser. Gradually the house disappeared from view behind an enormous wall of trees, tropical bushes, and cockatoo flowers. Noyce had a pond created on the back lawn, a waterscape elaborate enough to put on a bus tour, but nobody other than guests ever saw it. The lawn stretched on for several acres and had a tennis court, a swimming pool, and more walls of boughs and hot-pastel blossoms, and the world saw none of that, either.
Noyce drove a Porsche roadster, and he
didn’t mind letting it out for a romp. Back East, when men made a
great deal of money, they tended to put a higher and higher value
on their own hides. Noyce, on the other hand, seemed to enjoy
finding new ways to hang his out over the edge. He took up
paragliding over the ski slopes at Aspen on a Rogolla wing. He
built a Quicksilver hang glider and flew it off cliffs until a
friend of his, a champion at the sport, fractured his pelvis and a
leg flying a Quicksilver. He also took up scuba diving, and now he
had his Porsche. The high-performance foreign sports car became one
of the signatures of the successful Silicon Valley entrepreneur.
The sports car was perfect. Its richness consisted of something
small, dense, and hidden: the engineering beneath the body shell.
Not only that, the very luxury of a sports car was the experience
of driving it yourself. A sports car didn’t even suggest a life
with servants. Porsches and Ferraris became the favorites. By 1975
the Ferrari agency in Los Gatos was the second biggest Ferrari
agency on the West Coast. Noyce also bought a 1947 Republic Seabee
amphibious airplane, so that he could take the family for weekends
on the lakes in northern California. He now had two aircraft, but
he flew the ships himself.
Noyce was among the richest individuals
on the San Francisco Peninsula, as well as the most important
figure in the Silicon Valley, but his name seldom appeared in the
San Francisco newspapers. When it did, it was in the business
section, not on the society page. That, too, became the pattern for
the new rich of the Silicon Valley. San Francisco was barely
forty-five minutes up the Bayshore Freeway from Los Altos, but
psychologically San Francisco was an entire continent away. It was
a city whose luminaries kept looking back East, to New York, to see
if they were doing things correctly.
In 1974 Noyce wound up in a situation
that to some seemed an alltoo-typical midlife in the Silicon Valley
story. He and Betty, his wife of twenty-one years, were divorced,
and the following year he “intramarried.” Noyce, who was
forty-seven, married Intel’s personnel director, Ann Bowers, who
was thirty-seven. The divorce was mentioned in the San Francisco Chronicle, but not as a social note. It
was a major business story. Under California law, Betty received
half the family’s assets. When word got out that she was going to
sell off $6 million of her Intel stock in the interest of
diversifying her fortune, it threw the entire market in Intel stock
into a temporary spin. Betty left California and went to live in a
village on the coast of Maine. Noyce kept the house in Los
Altos.
By this time, the mid-1970s, the
Silicon Valley had become the late-twentieth-century-California
version of a new city, and Noyce and other entrepreneurs began to
indulge in some introspection. For ten years, thanks to racial
hostilities and the leftist politics of the antiwar movement, the
national press had dwelled on the subject of ethnic backgrounds.
This in itself tended to make the engineers and entrepreneurs of
the Silicon Valley conscious of how similar most of them were. Most
of the major figures, like Noyce himself, had grown up and gone to
college in small towns in the Middle West and the West. John
Bardeen had grown up in and gone to college in Madison, Wisconsin.
Walter Brattain had grown up in and gone to college in Washington.
Shockley grew up in Palo Alto at a time when it was a small college
town and went to the California Institute of Technology. Jack Kilby
was born in Jefferson City, Missouri, and went to college at the
University of Illinois. William Hewlett was born in Ann Arbor and
went to school at Stanford. David Packard grew up in Pueblo,
Colorado, and went to Stanford. Oliver Buckley grew up in Sloane,
Iowa, and went to college at Grinnell. Lee De Forest came from
Council Bluffs, Iowa (and went to Yale). And Thomas Edison grew up
in Port Huron, Michigan, and didn’t go to college at
all.
Some of them, such as Noyce and
Shockley, had gone East to graduate school at MIT, since it was the
most prestigious engineering school in the United States. But MIT
had proved to be a backwater … the sticks … when it came to the
most advanced form of engineering, solid-state electronics.
Grinnell College, with its one thousand students, had been years
ahead of MIT. The picture had been the same on the other great
frontier of technology in the second half of the twentieth century,
namely, the space program. The engineers who fulfilled one of man’s
most ancient dreams, that of traveling to the moon, came from the
same background, the small towns of the Midwest and the West. After
the triumph of Apollo 11, when Neil Armstrong and “Buzz” Aldrin
became the first mortals to walk on the moon, NASA’s administrator,
Tom Paine, happened to remark in conversation, “This was the
triumph of the squares.” A reporter overheard him—and did the press
ever have a time with that! But Paine had come up with a
penetrating insight. As it says in the Book of Matthew, the last
shall be first. It was engineers from the supposedly backward and
narrow-minded boondocks who had provided not only the genius but
also the passion and the daring that won the space race and carried
out John F. Kennedy’s exhortation, back in 1961, to put a man on
the moon “before this decade is out.” The passion and the daring of
these engineers was as remarkable as their talent. Time after time
they had to shake off the meddling hands of timid souls from back
East. The contribution of MIT to Project Mercury was minus one. The
minus one was Jerome Wiesner of the MIT electronic research lab,
who was brought in by Kennedy as a special adviser to straighten
out the space program when it seemed to be faltering early in 1961.
Wiesner kept flinching when he saw what NASA’s boondockers were
preparing to do. He tried to persuade Kennedy to forfeit the manned
space race to the Soviets and concentrate instead on unmanned
scientific missions. The boondockers of Project Mercury, starting
with the project’s director, Bob Gilruth, an aeronautical engineer
from Nashwauk, Minnesota, dodged Wiesner for months, like
moonshiners evading a roadblock, until they got astronaut Alan
Shepard launched on the first Mercury mission. Who had time to
waste on players as behind the times as Jerome Wiesner and the
Massachusetts Institute of Technology … out here on technology’s
leading edge?
Just why was it that small-town boys
from the Middle West dominated the engineering frontiers? Noyce
concluded it was because in a small town you became a technician, a
tinker, an engineer, and an inventor, by necessity.
“In a small town,” Noyce liked to say,
“when something breaks down, you don’t wait around for a new part,
because it’s not coming. You make it yourself.”
Yet in Grinnell necessity had been the
least of the mothers of invention. There had been something else
about Grinnell, something people Noyce’s age could feel but
couldn’t name. It had to do with the fact that Grinnell had once
been a religious community; not merely a town with a church but a
town that was inseparable from the church. In Josiah Grinnell’s day
most of the townspeople were devout Congregationalists, and the
rest were smart enough to act as if they were. Anyone in Grinnell
who aspired to the status of feedstore clerk or better joined the
First Congregational Church. By the end of the Second World War
educated people in Grinnell, and in all the Grinnells of the Middle
West, had begun to drop this side of their history into a lake of
amnesia. They gave in to the modern urge to be urbane. They
themselves began to enjoy sniggering over Grant Wood’s American Gothic and Sherwood Anderson’s and Sinclair
Lewis’s prose portraits of the Middle West. Once the amnesia set
in, all they remembered from the old days was the austere moral
codes, which in some cases still hung on. Josiah Grinnell’s real
estate covenants prohibiting drinking, for example … Just imagine!
How absurd it was to see these unburied bones of something that had
once been strong and alive.
That something was Dissenting
Protestantism itself. Oh, it had once been quite strong and very
much alive! The passion—the exhilaration! —of those early days was
what no one could any longer recall. To be a believing Protestant
in a town such as Grinnell in the middle of the nineteenth century
was to experience a spiritual ecstasy greater than any that the
readers of Main Street or the viewers of
American Gothic were likely to know in their
lifetimes. Josiah Grinnell had gone to Iowa in 1854 to create
nothing less than a City of Light. He was a New Englander who had
given up on the East. He had founded the first Congregational
church in Washington, D.C., and then defected from it when the
congregation, mostly Southerners, objected to his antislavery
views. He went to New York and met the famous editor of the
New York Herald, Horace Greeley. It was
while talking to Josiah Grinnell, who was then thirty-two and
wondering what to do with his life, that Greeley uttered the words
for which he would be remembered forever after: “Go west, young
man, go west.” So Grinnell went to Iowa, and he and three friends
bought up five thousand acres of land in order to start up a
Congregational community the way he thought it should be done. A
City of Light! The first thing he organized was the congregation.
The second was the college. Oxford and Cambridge had started
banning Dissenting Protestants in the seventeenth century;
Dissenters founded their own schools and colleges. Grinnell became
a champion of “free schools,” and it was largely thanks to him that
Iowa had one of the first and best public school systems in the
West. To this day Iowa has the highest literacy rate of any state.
In the 1940s a bright youngster whose parents were not rich—such as
Bob Noyce or his brother Donald—was far more likely to receive a
superior education in Iowa than in Massachusetts.
And if he was extremely bright, if he
seemed to have the quality known as genius, he was infinitely more
likely to go into engineering in Iowa, or Illinois or Wisconsin,
than anywhere in the East. Back East engineering was an
unfashionable field. The East looked to Europe in matters of
intellectual fashion, and in Europe the ancient aristocratic bias
against manual labor lived on. Engineering was looked upon as
nothing more than manual labor raised to the level of a science.
There was “pure” science and there was engineering, which was
merely practical. Back East engineers ranked, socially, below
lawyers, doctors, Army colonels, Navy captains, English, history,
biology, chemistry, and physics professors; and business
executives. This piece of European snobbery had never reached
Grinnell, Iowa, however.
Neither had the corollary piece of
snobbery that said a scientist was lowering himself by going into
commerce. Dissenting Protestants looked upon themselves as secular
saints, men and women of God who did God’s work not as penurious
monks and nuns but as successful workers in the everyday world. To
be rich and successful was even better, and just as righteous. One
of Josiah Grinnell’s main projects was to bring the Rock Island
Railroad into Iowa. Many in his congregation became successful
farmers of the gloriously fertile soil around Grinnell. But there
was no sense of rich and poor. All the congregation opened up the
virgin land in a common struggle out on the frontier. They had
given up the comforts of the East … in order to create a City of
Light in the name of the Lord. Every sacrifice, every privation,
every denial of the pleasures of the flesh, brought them closer to
that state of bliss in which the light of God shines forth from the
apex of the soul. What were the momentary comforts and aristocratic
poses of the East … compared to this? Where would the fleshpots
back East be on that day when the heavens opened up and a light
fell’round about them and a voice from on high said: “Why mockest
thou me?” The light! The light! Who, if he had ever known that
glorious light, if he had ever let his soul burst forth into that
light, could ever mock these, my very seed, with a Main Street or an American
Gothic! There, in Grinnell, reigned the passion that enabled
men and women to settle the West in the nineteenth century against
the most astonishing odds and in the face of overbearing
hardships.
By the standards of St. Francis of
Assisi or St. Jerome, who possessed nothing beyond the cloak of
righteousness, Josiah Grinnell was a very secular saint indeed. He
died a rich man. And Robert Noyce’s life was a great deal more
secular than Josiah Grinnell’s. In a single decade, 1973—1983,
Intel’s sales grew from $64 million a year to almost one billion.
Noyce’s own holdings were worth an estimated four billion dollars.
Noyce had wandered away from the church itself. He smoked. He
smoked a lot. He took a drink when he felt like it. He had gotten a
divorce. Nevertheless, when Noyce went west, he brought Grinnell
with him … unaccountably sewn into the lining of his
coat!
In the last stage of his career Josiah
Grinnell had turned from the building of his community to broader
matters affecting Iowa and the Middle West. In 1863 he became one
of midland Iowa’s representatives in Congress. Likewise, in 1974
Noyce turned over the actual running of Intel to Gordon Moore and
Andrew Grove and kicked himself upstairs to become chairman of the
board. His major role became that of spokesman for the Silicon
Valley and the electronic frontier itself. He became chairman of
the Semiconductor Industry Association. He led the industry’s
campaign to deal with the mounting competition from Japan. He was
awarded the National Medal of Science in a White House ceremony in
1980. He was appointed to the University of California Board of
Regents and inducted into the National Inventors Hall of Fame and
the American Academy of Arts and Sciences. In 1988 he moved to
Austin, Texas, to assume a national role, just the way Josiah
Grinnell had gone to Washington. He headed up Sematech, a
consortium of fourteen semiconductor manufacturers who would work
with the federal government to create an overwhelming and
impregnable might for the United States in the age of computers—and
put the Japanese in their place. Only Noyce had the stature—and the
Gary Cooper gaze of command—to make so many VIPs fall in line at
Sematech. He was hardly a famous man in the usual sense, however.
He was practically unknown to the general public. But among those
who followed the semiconductor industry he was a legend. He was
certainly famous back East on Wall Street. When a reporter asked
James Magid of the underwriting firm of L. F. Rothschild,
Unterberg, Towbin about Noyce, he said, “Noyce is a national
treasure.”
Oh yes! What a treasure indeed was the
moral capital of the nineteenth century! Noyce happened to grow up
in a family in which the long-forgotten light of Dissenting
Protestantism still burned brightly. The tight!—the light at the
apex of every human soul! Ironically, it was that long-forgotten
light … from out of the churchy, blue-nosed sticks … that led the
world into the twenty-first century, across the electronic grid and
into space.
Surely the moral capital of the
nineteenth century is by now all but completely spent. Robert
Noyce’s was the last generation to have grown up in families where
the light of Dissenting Protestantism existed in anything
approaching a pure state. Noyce had an ineffable Dissenting
Protestant charisma—charisma means literally a gift from God—but,
like Josiah Grinnell, he was also mortal, although he didn’t look
it. In 1988, when he went to Austin, he was sixty but still had the
build of the Grinnell College intercollegiate swimmer he used to
be. He had turned his back yards in Los Gatos and Austin into
Olympic swimming venues where he worked out regularly. Every hair
he ever had in his head was still nailed in, and none dared turn
white. He also had tennis courts both places. He also still smoked.
A lot. On Saturday evening, June 2, 1990, at home in Austin, he
played his usual hard round of tennis. Sunday morning he woke up
and dove into the pool for his morning swim. His left main heart
artery closed forever, and he died within the hour. There was no
funeral, no religious ceremony; his body was cremated. Huge
nonreligious “memorial celebrations of his life”—the favorite
secular sentimentalism of the day—were held in Austin and in San
Jose, California, but they took on an inexplicably religious
overtone. As the San Jose “celebration” ended, a pilot with a
special FAA dispensation flew Noyce’s own Cessna Citation jet down
low over the crowd, a moment that reminded everybody of some heroic
military aviator’s funeral. Workmen released thousands of
gas-filled red, white, and blue balloons that ascended from this
earth to—where?—Heaven? The swarms of people on hand left with the
mournful feeling that some sort of profound—dared they utter the
word “spiritual”?—force had gone out of the life of the Silicon
Valley.
Over the next ten years, as the Valley
swelled with new people and new wealth, the name Noyce was quickly
forgotten, and people who could expound upon algorithms and on-line
trachoma would have drawn a blank on the term Congregationalist.
And yet out in the Silicon Valley some sort
of light shines still. People who run even the newest companies in
the Valley repeat Noycisms with conviction and with relish—and
without a clue as to where they came from. The young CEOs all say,
“Datadyne is not a corporation, it’s a culture,” or “iLinx is not a corporation, it’s a
society,” or “honeybear.com’s
assets”—the latest vogue is for down-home nontech names—“honeybear.com’s
assets aren’t hardware, they’re the software of the three hundred
souls who work here.” They talk about the soul and spiritual vision
as if it were the most natural subject in the world for a well-run
company to be concerned about.
The day one of the Valley’s new firms,
Eagle Computer, Inc., sprang its IPO, investors went for it like
the answer to a dream. At the close of trading on the stock market,
the company’s forty-year-old CEO, Dennis Barnhart, was suddenly
worth 9 million. Four and a half hours later he and a pal took his
Ferrari out for a little romp, hung their hides out over the edge,
lost control on a curve in Los Gatos, and went through a guardrail,
and Barnhart was killed. Naturally, that night people in the
business could talk of very little else. One of the best-known CEOS
in the Valley said, “It’s the dark side of the Force.” He said it
without a trace of irony, and his friends nodded in contemplation.
They had no term for it, but they knew exactly what Force he
meant.