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The experience of shepherding Blogger through growth, then hardship, until he finally turned it into a real company cemented Williams's philosophy of business. He would be an entrepreneur who looked for value in things that seemed worthless. Faith--in one's ability, in one's chosen path, and, above all else, in the fact that there are always opportunities ahead--was a company's greatest need. Stick to your product, forget about scrambling for deals, and good things will happen.

The belief that faith is an important business attribute goes a long way in describing how Williams is able to see opportunities. "He has a stubbornness of vision," says Tim O'Reilly, the tech luminary who runs publisher O'Reilly Media and who coined the term "Web 2.0." O'Reilly was Williams's first employer in Silicon Valley and an investor in Pyra. "There are so many me-too start-ups on the Web, so many people saying this will be the next big thing, but the successful entrepreneurs are people who see the world differently." Williams's closest collaborator, Twitter co-founder Biz Stone, says much the same. "He has a tendency to wait just a bit longer than everyone else would, to give an idea more time," Stone says. "It is patience and perseverance and hope--all those things rolled up into one."

After leaving Google at the end of 2004, with his fast-appreciating stock and a world-class education in business, Williams resolved to tread water until the right opportunity came along. "While I think I'm likely to start another company sometime," he wrote on his blog, "I'm forcing myself to be noncommittal at the moment. My goal is to develop some perspective, learn new things, rest, and explore." He promised to travel and to think about how he would change his life.

He didn't do much of either. His next-door neighbor, an entrepreneur named Noah Glass, was starting a podcasting company, and Williams began advising him in the weeks following his departure from Google. Advising turned into full-time work, and full-time work turned into being co-founder, seed investor, and, eventually, CEO. By February 2005, he had invested $170,000 and personally launched the company, now called Odeo, with a demonstration at TED, the invitation-only tech conference held in Monterey, California. That same day, a front-page article in the business section of The New York Times profiled Odeo and its famous founder. Williams, it seemed, was on his way to turning another weird technology phenomenon into the next big thing.

But Odeo had no real product--only a sense that podcasting was somehow going to be popular. The website that Williams unveiled at TED, an audio directory and a few simple tools for recording one's own podcasts, wasn't ready for the public until a few months later, and by then it had been overshadowed by Apple's release of podcasting features for iTunes. Odeo's strategy, if there was one, was to be a one-stop shop for Internet audio, offering a number of tools for podcasters and casual listeners. Being all things to all people required money, and there were plenty of eager investors who wanted in on Ev's next big thing. He raised $5 million from the venture capitalists Charles River Ventures and a number of high-profile angels, including O'Reilly, Google backer Ron Conway, and Lotus founder Mitch Kapor. The company quickly started hiring, and by the end of the year, it employed 14 people.

While he was trying to come up with a strategy for Odeo, Williams was processing the lessons of the past few years. In the fall of 2005, he wrote what he calls "my best blog post ever." It was called "Ten Rules for Web Startups," and it has since become something of an Internet classic. (Google the title and you'll get more than a thousand results, nearly all of which point to Williams's post.) The lessons were lifted from his experience at Blogger, particularly the first one, "Be Narrow," which urged entrepreneurs to "Focus on the smallest possible problem you could solve that would be potentially useful." Other lessons were "Be Tiny," "Be Picky," and "Be Self-Centered," which discussed the importance of company founders using their own products.

Even as he wrote his rules, he was ignoring them. He wasn't even podcasting. As Odeo sputtered, struggling to gain new users, Williams began to see his problem as one of corporate structure. He had accepted millions of dollars in investment capital, built a team, and worked the media before he knew what his company was. Odeo needed to experiment--to play, even. "If we were just two guys in a garage, we could say, 'I don't know about that idea, but let's see where it goes,' " he says. His solution was to organize what he called a "hack day." He broke the company into small groups and told them to spend a day experimenting--not just with podcasting, but with anything that struck their fancy. It was Dorsey's project that struck Williams's. Dorsey had long been fascinated by the status function on instant message programs: the short, pithy postings that allow you to tell your online friends what you are doing. He built a prototype of Twitter in two weeks.

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Max Chafkin

Senior writer Max Chafkin has profiled companies such as Yelp, Zappos, Twitter, Threadless, and Tesla for the magazine. He lives in Brooklyn, New York.

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