Sam Altman, former president of Y Combinator and current CEO of OpenAI, has been a guiding voice for young entrepreneurs and ambitious individuals navigating the early stages of their careers.
His advice, particularly targeted at college students and driven 19-year-olds, emphasizes the importance of being proactive, surrounding yourself with talented people, and making thoughtful, long-term decisions.
Below is a breakdown of his insights and recommendations for those on the cusp of their professional journeys.
1. There’s No Single Right Path
According to Sam, whether you choose to attend college, join a company, or start a startup, each path can lead to success. There is no singular “right” decision, but rather the key is to build things and be around smart people.
He encourages young individuals to work on something meaningful, which will lead to continual growth and new opportunities. Whether it’s contributing to an open-source project, innovating at a company, or building a startup, getting involved in something productive will set you on a trajectory for success.
2. Don’t Waste Your Most Productive Years
Sam warns that spending four years in college without getting anything done can be risky. These years are often when people are at their peak in terms of creativity and productivity.
If you decide to stay in college, he advises making sure that you’re not only learning something valuable but also working on interesting projects.
College can be one of the best places to meet people you might collaborate with in the future, so take full advantage of the environment.
3. Choosing the Right Company Matters
If joining a company is your chosen path, Sam suggests choosing one that’s on a “breakout trajectory.” These companies, often a handful at any given time, can provide exceptional learning experiences for young people.
These opportunities offer a good balance between risk and reward, as you’ll work with talented individuals, learn what success looks like, and build a successful track record (i.e., “get a W on your record”).
- Equity vs. Salary: Altman advises against prioritizing salary over equity and learning opportunities. While startups offer higher potential in terms of equity, joining an established company on a growth trajectory offers much less risk with the opportunity to still gain meaningful equity and experience.
- Learning Success: By joining a high-growth company, you’ll learn from seasoned professionals, witness how a successful business operates, and increase your chances of future success.
4. Starting a Company: Only Do It If You Love the Idea
Sam is clear on this point: if you start a company, do it because you are deeply passionate about the idea. The entrepreneurial path is difficult, and starting a company without genuine conviction can lead to failure.
However, he acknowledges that starting a failed company isn’t as bad as joining a failed one. As a founder, you will likely learn far more from your own startup failure than from being an employee in a company that doesn’t succeed.
The learning curve is steep, but it is incredibly rewarding.
5. Minimize Your Personal Burn Rate
No matter what path you choose, Sam advises keeping your personal expenses (or “burn rate”) low. Living frugally allows you to take bigger risks, be more flexible in your career decisions, and focus on long-term opportunities without the pressure of immediate financial burdens.
This flexibility will be crucial in those early years when cash flow may be uncertain, whether you’re starting a company or working for one.
6. Focus on the Path That Leads to Success
His overarching point is that you only need to be “right once.” But to reach that moment of success, you need to position yourself on a path where it’s possible.
This involves surrounding yourself with smart people, getting involved in meaningful work, and taking calculated risks. The real danger is not pursuing a path that might lead you to that pivotal, game-changing opportunity.
Key Takeaways for Ambitious College Students and Young Professionals:
- Build and create: Engage in meaningful projects or work, whether it’s in college or the workplace.
- Surround yourself with talent: Be around smart, driven people who push you to be better.
- Maximize learning opportunities: Prioritize companies with growth potential over salary, and learn from those who have been successful.
- Only start a company if you’re passionate: Don’t rush into entrepreneurship unless you truly love your idea.
- Stay frugal: Keep your personal costs low to allow for flexibility and risk-taking.
- Position yourself for that one breakthrough: Make sure you’re on a path where success, even if it takes a while, is a real possibility.
His advice is clear and practical: success requires a combination of proactive decision-making, smart risk-taking, and putting yourself in an environment that fosters growth. Whether you’re in college or entering the workforce, the key is to keep moving forward and work toward a future where you can seize that critical moment of success.
