Monday, October 12, 2009

I Call

James McManus has an interesting article at The Chronicle of Higher Education that explores the impact of the game of poker in America. Bill Gates, for example, believed that poker helped him to learn to process information in a way that had real business applications:
Then there's the seminal influence of poker on Bill Gates during his four semesters at Harvard (1973-75). Twenty years later, in The Road Ahead, Gates recalled the marathon dorm sessions he believes were at least as productive and intellectually stimulating as his time spent in class. Dorm-mate Steve Ballmer calls Microsoft's early business plan "basically an extension of the all-night poker games Bill and I used to play back at Harvard." Gates put it this way: "In poker, a player collects different pieces of information—who's betting boldly, what cards are showing, what this guy's pattern of betting and bluffing is—and then crunches all that data together to devise a plan for his own hand. I got pretty good at this kind of information processing." Indeed, he won a substantial portion of Microsoft's start-up costs in those dorm games. But it wasn't just dollars reaped to be parlayed a millionfold; it was mainly, says Gates, that "the poker strategizing experience would prove helpful when I got into business."
I used to play regularly, myself, and truly love the game. I can't claim that I learned much - except, perhaps, never to play unless completely sober; although, come to think of it, that is a lesson with applications that go far beyond poker.

6 comments:

  1. It's funny you mention this. I saw an article this weekend about billionaires, and one thing they point out is that these people have a high mathematical aptitude and/or have a parent with such abilities. Perhaps Mr. Gates was so mathematically gifted that he was bored, dropped out of college, and then became wildly successful beyond anything a Harvard education could have given him.

    Then again, I saw too many gifted students drop out of college because of gamer addictions, particularly addition to :Dungeons and Dragons."

    The book Bringing Down the House (made into the movie "21") was about the MIT students who parlayed card-counting ability into riches. Much better than the movie if you are into the mathematical side of things!

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  2. "I can't claim that I learned much - except, perhaps, never to play unless completely sober..."

    Puts you one up on most of DC right there.

    But let's also not forget Gates' gift for simple criminality, as when he forced computer manufacturers like Compaq to include Windows with their computers even if the customer had ordered another OS like IBM's, as part of Microsoft's license.

    If some guido in NY pulled that with restaurant linens he'e get a RICO rocket. But the rich, they are different...

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  3. For a game of strategies I'm a Euchre guy, poker, not so much...

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  4. The Windows operating system was modelled after what you do after those all night poker games-crash!

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  5. And then he opines.

    I guess those poker games did help them with their business model. I guess if they were looking to build a good OS the doublemint twins would have had to spend their evenings trying to find Steve Jobs' number. Poker must have been much more fun.

    But,but Yojimbo. Wouldn't a good software package necessarily be part of a good business strategy? Guess not!:)

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  6. "The Way Ahead" was about as prescient as Sen Baucas' Medicare bill. Much like a Steve Jobs' keynote speech, but without the excitement, the information, o the glimpse into the future. It rates right up with Mrs Pelosi's "Walk Like A Woman".

    Cheers

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