The original Paul Graham essay[1] had a lot of focus on "startups". The companies in the early days scratching and clawing trying to make things work. I thought that was the context.
MySQL was started by 3 guys in Sweden working in the same office. Even if they wanted to have everyone working remotely in 1995, there was no technology (high speed internet) at the time to do it. Sure, as a company becomes bigger, and also as technologies improve, there are possibilities for organizing remote work.
Anyways, back to the context and constraints of startups: If you're a startup, it would be great to recruit the "exceptional" talent in South Africa, Ukraine, China, New Zealand, etc (because 95% of the best programmers are not in the USA).
The MA.TT says remote work is the answer. I don't see how because I've not seen any evidence of any billion-dollar American startup that was built by a 100% virtual team from multiple timezones of Europe/Africa/Asia.
If you're creating a 24/7 tech support department that "follows the sun", having staff in far off timezones is awesome and necessary. If you're trying to build a product with hard challenges for the team to solve, MA.TT's "answer" of international remote workers is not an answer.
A startup I helped build over the last nine years was acquired earlier this year. Our entire company was distributed, and we thrived with email, persistent chat, weekly meetings via phone, and occasional in-person meetings.
It does in Paul Graham's essay and OP's response to it. Again, we're losing sight of the thread's discussion. (Please read PG's essay that started this.)
PG's essay was about H1-B visas (recruiting foreign talent into the USA) and the OP (MA.TT) said the answer was remote workers. This means international remote workers that are 6+ to 12+ hours ahead in timezones.
We're not talking about hiring remote workers in Maine and Rhode Island to work as a distributed team for California companies. We're talking about remote workers in far off timezones like France, Japan, Australia, etc. I know of zero examples where the type of company that Y-Combinator likes to fund (e.g. billion-dollar ideas) was built with remote workers to the extent that the H1-B conversation can be rendered a moot point.
We failed mostly because our product was overly ambitious, solving a broad problem.
Yes, is just an anecdote, but my point is that distributed team can run circles around most of colocated teams and we wouldn't have been able to assemble that team if we insisted that everybody had to be on the same place.
MySQL was a 1B company and built with a remote team:
http://developers.slashdot.org/story/13/03/07/1826212/former...