Dr Larry Marshall
Chief Executive, Commonwealth Scientific and Industrial Research Organisation (CSIRO)
Ceremony: 14 October 2019, 10:30am - Faculty of Science
Thank you. Could I begin, formally, by acknowledging the Gadigal people of the Eora Nation as the traditional owners of the land that we're meeting on here today and pay my respects to their elders past, present, and emerging.
Look at this sea of genius. Extraordinary. The first time you've graduated? The first time? This is the first time I've given a commencement speech, at least in Australia, so please rate me at the end so that I can have feedback and do better. It's a genuine honour to be speaking to you today, Pro-Chancellor Tony Tobin, Vice-Chancellor Professor Attila Brungs, and a great former CSIRO alumni. Dean for Faculty of Science, Professor Diane Jolie, Presiding Director Jackie Wise, Chair of Academic Board Professor Joanne Gray, members of the university, executive and council staff, family, friends. And last but absolutely not least, you, the graduates. You are our future. Who's going to change the world?
This is an amazing milestone to celebrate with you all, but I have three wishes I'm going to ask of you today. Three wishes. Today's a high point, but after the high of today, there will be many, many crises along your journey where you'll question yourself, your values, and your future. When I started at Australia's national science agency, CSIRO, the first time as an intern, in 1984, was in my university days at Macquarie before I went to Stanford, and at that time, I had no idea that one day I would end up as chief executive of the same organisation that I was interning in. But I can tell you that it was by no means a linear path to get to that point.
I'm going to go back a little bit. When I was 10, my dad died. Four years later, when I was 14, I almost died when I fell off a cliff at West Head. Now, losing a parent and having your life flash before your eyes has a way of focusing you. They are, to be sure, devastating experiences, but at the same time, they're a catalyst. Now, back then, when I was at school, our parents and teachers told us, "Whatever you do, study computer science and probably learn Japanese because computers will rule the world, don't you know?" Now, today, things actually haven't changed that much except it's, "Learn Mandarin."
For the record, I ignored all of that wonderful, sage advice and studied physics instead, and not software, but hardware, pretty much making sure that I was unemployable as a graduate. So my first wish for you: don't follow the path that everyone else does. If you do, you'll swim in a red ocean of competition. Rather, follow your heart, follow your own path and swim in a blue ocean because that, as they say, has made all the difference. Now, like most PhDs at that time, I was encouraged to chase an academic career. I turned down postdocs at Stanford and Oxford and Harvard.
Now, if I was lucky, maybe in 10 or 15 years, I could become a professor. Sorry, Attila. But I decided instead to stay in Silicon Valley and try it out, see if I could actually have a go at commercialising some of my science. I thought, "Give it a go for six months, what's the worst that could happen?" Well, six months sort of quickly turned into 26 years. Now, today, Australians going to Silicon Valley is a very well-trodden path, and so I strongly recommend that you don't follow that path. But back then, there were very few Australians stupid enough to think they could compete with the Americans, let alone in Silicon Valley.
Now, in physics at Macquarie at that time, and at Stanford, we used Richard Feynman's textbook, and they said if you studied Feynman, you would deeply understand physics, but you would have probably no chance of passing an exam. And if you haven't come across Feynman, he's recommended reading for life as well as for science. And one of the things that really differentiated Feynman was his passionate belief in social science and the notion of socially responsible science and innovation. We have to own the responsibility for the inventions that we unleash upon the world.
Now, I specifically remember this because he worked on the atomic bomb and he shared the passion and excitement that the group of scientists shared with him as they celebrated the key breakthrough that enabled the bomb to work, and months later, when they literally cried when they realised what had been done with their amazing breakthrough. Because you can't always blame the politicians. Now, I had that moral crisis many times in my career, but very early on, I worked in a startup trying to translate my breakthroughs in science to application. I did some of the best science of my life, a hundred papers in probably four years, invited papers at prestigious conferences. Fantastic.
But the problem with this company that I was working for was they wanted to do military contracting. Now I perfectly understand the need for lasers in defence, but some of the things they wanted to do, I simply couldn't be blind to. And that gives you a hint of what they wanted to do with lasers. So with Feynman ringing clearly in my head, I left to find other applications for my lasers. Before I left, I told my CEO why I was leaving and the fact I really wanted to go try my hand at commercialisation, and without skipping a heartbeat, he said if I did that, he would sue me. He would relentlessly pursue me.
And for me, that was an irresistible invitation to do my first startup. Now the invention that got me hooked on starting companies using science was the world's first solid state green laser, which was used to cure blindness in diabetics. It was born in my basement in a laser lab that I'd created there and it led to my first NASDAQ IPO. That then led to another five companies, and each time I found a new market by turning amazing, breakthrough science into real world solutions.
Now you know I said earlier that you never know where things will lead you, and that's the beauty of today. That's the beauty of where you are. You have no idea where you'll go, but I'm sure it will be extraordinary. So years later, after inventing this breakthrough laser, I had to rush my daughter to a surgeons lab in San Francisco because she'd burst a blood vessel in her nose and was losing blood very rapidly, and it amazed me when he pulled out my laser to cauterise her injury. And as the surgeon finished the treatment, my 10 year old daughter said, "Gee, I'm lucky my daddy's a doctor." And he said, "No, you're lucky your daddy's an entrepreneur." And by the way, I'm a real doctor. As residents of the United States at the time, frankly, we were both lucky we had health insurance.
So, you must follow your internal compass. You don't change the world by being like everyone else, so have the courage to back yourself and your beliefs. I'm so heartened by the way this generation is stepping up to own the consequences of our actions, leveraging science to make the world a better place. We need that more than ever right now. So that's my second wish for you: lead with purpose. If you do that, you'll enrich yourself, not just with financial gains, but with the power of purpose. Trust me. Forget about the money; it will come if you lead with purpose.
Now, my journey may have begun very much like yours, with a degree in science, but that didn't define me. It empowered me. I became an inventor, and then an entrepreneur and then a CEO of startups and then of a public company and then of a venture capital firm, and now I'm chief executive of a billion dollar company. Each time, I hit a brick wall, I failed, I fell down, but each time, I got up and reinvented myself and moved on to greater success. But those failures, hitting the wall at a hundred miles an hour, sure didn't feel like the way to success.
Back in 2000, in the first tech bubble, it was the best of times. I was running billion dollar private company, Light Bit, that was about to get acquired in the midst of the tech boom, but then 9/11 happened and very quickly, the best of times became the worst of times and we were forced to sell the company for pennies on the dollar. But, just as in A Tale Of Two Cities, eventually it became the best of times again, and I was able to persuade the acquirers to let me reinvent the company, come back in as its CEO a few years later, and take it through my second IPO.
Entrepreneurs never give up. We may die trying, but we will never die wondering, and that's the power of leading with purpose. So I don't believe in failure as failure. It is actually the greatest teacher. The real test is what you do next, very much as is the test today. I believe that these near death experiences are actually the catalyst that creates something truly extraordinary. So when you stumble, get up confident that you won't fall down that particular way again. And finally, in closing, one of my favourite parts of Silicon Valley was a fundamental culture, a core belief of pay it forward. Andy Grove, the genius founder of Intel, always had time to encourage a young entrepreneur, even in Australia.
Steve, as hard and difficult as he could be, and believe me, he was probably worse than what you might think of or read about, but he still invested his time and money in our hopeful startups, even gave us projects that, quite frankly, he probably could have done himself within Apple, and once he even let me play the Bösendorfer piano in the lobby. Now, as you begin your next steps, can I ask of you as my third and final wish, to please pay it forward? When you win, and you will, share the glory. When you find wealth, use it to enrich not just yourself, but all those around you. Take them on the journey with you. The world is full of arrogant, rich people, so think and be different and go change the world. Thank you.
Speech
Thank you. Could I begin, formally, by acknowledging the Gadigal people of the Eora Nation as the traditional owners of the land that we're meeting on here today and pay my respects to their elders past, present, and emerging.
Look at this sea of genius. Extraordinary. The first time you've graduated? The first time? This is the first time I've given a commencement speech, at least in Australia, so please rate me at the end so that I can have feedback and do better. It's a genuine honour to be speaking to you today, Pro-Chancellor Tony Tobin, Vice-Chancellor Professor Attila Brungs, and a great former CSIRO alumni. Dean for Faculty of Science, Professor Diane Jolie, Presiding Director Jackie Wise, Chair of Academic Board Professor Joanne Gray, members of the university, executive and council staff, family, friends. And last but absolutely not least, you, the graduates. You are our future. Who's going to change the world?
This is an amazing milestone to celebrate with you all, but I have three wishes I'm going to ask of you today. Three wishes. Today's a high point, but after the high of today, there will be many, many crises along your journey where you'll question yourself, your values, and your future. When I started at Australia's national science agency, CSIRO, the first time as an intern, in 1984, was in my university days at Macquarie before I went to Stanford, and at that time, I had no idea that one day I would end up as chief executive of the same organisation that I was interning in. But I can tell you that it was by no means a linear path to get to that point.
I'm going to go back a little bit. When I was 10, my dad died. Four years later, when I was 14, I almost died when I fell off a cliff at West Head. Now, losing a parent and having your life flash before your eyes has a way of focusing you. They are, to be sure, devastating experiences, but at the same time, they're a catalyst. Now, back then, when I was at school, our parents and teachers told us, "Whatever you do, study computer science and probably learn Japanese because computers will rule the world, don't you know?" Now, today, things actually haven't changed that much except it's, "Learn Mandarin."
For the record, I ignored all of that wonderful, sage advice and studied physics instead, and not software, but hardware, pretty much making sure that I was unemployable as a graduate. So my first wish for you: don't follow the path that everyone else does. If you do, you'll swim in a red ocean of competition. Rather, follow your heart, follow your own path and swim in a blue ocean because that, as they say, has made all the difference. Now, like most PhDs at that time, I was encouraged to chase an academic career. I turned down postdocs at Stanford and Oxford and Harvard.
Now, if I was lucky, maybe in 10 or 15 years, I could become a professor. Sorry, Attila. But I decided instead to stay in Silicon Valley and try it out, see if I could actually have a go at commercialising some of my science. I thought, "Give it a go for six months, what's the worst that could happen?" Well, six months sort of quickly turned into 26 years. Now, today, Australians going to Silicon Valley is a very well-trodden path, and so I strongly recommend that you don't follow that path. But back then, there were very few Australians stupid enough to think they could compete with the Americans, let alone in Silicon Valley.
Now, in physics at Macquarie at that time, and at Stanford, we used Richard Feynman's textbook, and they said if you studied Feynman, you would deeply understand physics, but you would have probably no chance of passing an exam. And if you haven't come across Feynman, he's recommended reading for life as well as for science. And one of the things that really differentiated Feynman was his passionate belief in social science and the notion of socially responsible science and innovation. We have to own the responsibility for the inventions that we unleash upon the world.
Now, I specifically remember this because he worked on the atomic bomb and he shared the passion and excitement that the group of scientists shared with him as they celebrated the key breakthrough that enabled the bomb to work, and months later, when they literally cried when they realised what had been done with their amazing breakthrough. Because you can't always blame the politicians. Now, I had that moral crisis many times in my career, but very early on, I worked in a startup trying to translate my breakthroughs in science to application. I did some of the best science of my life, a hundred papers in probably four years, invited papers at prestigious conferences. Fantastic.
But the problem with this company that I was working for was they wanted to do military contracting. Now I perfectly understand the need for lasers in defence, but some of the things they wanted to do, I simply couldn't be blind to. And that gives you a hint of what they wanted to do with lasers. So with Feynman ringing clearly in my head, I left to find other applications for my lasers. Before I left, I told my CEO why I was leaving and the fact I really wanted to go try my hand at commercialisation, and without skipping a heartbeat, he said if I did that, he would sue me. He would relentlessly pursue me.
And for me, that was an irresistible invitation to do my first startup. Now the invention that got me hooked on starting companies using science was the world's first solid state green laser, which was used to cure blindness in diabetics. It was born in my basement in a laser lab that I'd created there and it led to my first NASDAQ IPO. That then led to another five companies, and each time I found a new market by turning amazing, breakthrough science into real world solutions.
Now you know I said earlier that you never know where things will lead you, and that's the beauty of today. That's the beauty of where you are. You have no idea where you'll go, but I'm sure it will be extraordinary. So years later, after inventing this breakthrough laser, I had to rush my daughter to a surgeons lab in San Francisco because she'd burst a blood vessel in her nose and was losing blood very rapidly, and it amazed me when he pulled out my laser to cauterise her injury. And as the surgeon finished the treatment, my 10 year old daughter said, "Gee, I'm lucky my daddy's a doctor." And he said, "No, you're lucky your daddy's an entrepreneur." And by the way, I'm a real doctor. As residents of the United States at the time, frankly, we were both lucky we had health insurance.
So, you must follow your internal compass. You don't change the world by being like everyone else, so have the courage to back yourself and your beliefs. I'm so heartened by the way this generation is stepping up to own the consequences of our actions, leveraging science to make the world a better place. We need that more than ever right now. So that's my second wish for you: lead with purpose. If you do that, you'll enrich yourself, not just with financial gains, but with the power of purpose. Trust me. Forget about the money; it will come if you lead with purpose.
Now, my journey may have begun very much like yours, with a degree in science, but that didn't define me. It empowered me. I became an inventor, and then an entrepreneur and then a CEO of startups and then of a public company and then of a venture capital firm, and now I'm chief executive of a billion dollar company. Each time, I hit a brick wall, I failed, I fell down, but each time, I got up and reinvented myself and moved on to greater success. But those failures, hitting the wall at a hundred miles an hour, sure didn't feel like the way to success.
Back in 2000, in the first tech bubble, it was the best of times. I was running billion dollar private company, Light Bit, that was about to get acquired in the midst of the tech boom, but then 9/11 happened and very quickly, the best of times became the worst of times and we were forced to sell the company for pennies on the dollar. But, just as in A Tale Of Two Cities, eventually it became the best of times again, and I was able to persuade the acquirers to let me reinvent the company, come back in as its CEO a few years later, and take it through my second IPO.
Entrepreneurs never give up. We may die trying, but we will never die wondering, and that's the power of leading with purpose. So I don't believe in failure as failure. It is actually the greatest teacher. The real test is what you do next, very much as is the test today. I believe that these near death experiences are actually the catalyst that creates something truly extraordinary. So when you stumble, get up confident that you won't fall down that particular way again. And finally, in closing, one of my favourite parts of Silicon Valley was a fundamental culture, a core belief of pay it forward. Andy Grove, the genius founder of Intel, always had time to encourage a young entrepreneur, even in Australia.
Steve, as hard and difficult as he could be, and believe me, he was probably worse than what you might think of or read about, but he still invested his time and money in our hopeful startups, even gave us projects that, quite frankly, he probably could have done himself within Apple, and once he even let me play the Bösendorfer piano in the lobby. Now, as you begin your next steps, can I ask of you as my third and final wish, to please pay it forward? When you win, and you will, share the glory. When you find wealth, use it to enrich not just yourself, but all those around you. Take them on the journey with you. The world is full of arrogant, rich people, so think and be different and go change the world. Thank you.
About the Speaker
Dr Larry Marshall is Chief Executive of the Commonwealth Scientific and Industrial Research Organisation (CSIRO), Australia’s national science agency and innovation catalyst. For almost a century, the CSIRO has translated excellent science into profound impact for the benefit of all Australians and the world.
Dr Marshall is a scientist, technology innovator and business leader with a wealth of experience in creating new value and impact with science.
He began his career in America, licensing his work with eye-safe lasers to create a range of healthcare solutions in ophthalmology. Dr Marshall later founded a number of companies specialising in biotechnology, telecommunications, semiconductors, and venture capital.
In 2007, he became Managing Director of Southern Cross Ventures, specialising in Australian innovation, where he delivered the first Nasdaq Initial Public Offering of an Australian-venture backed start-up commercialising science.
Dr Marshall graduated from Macquarie University with a Bachelor of Science (Honours). He later graduated with a PhD in Physics, completing part of it while studying at Stanford University in the United States of America.
Dr Marshall has been honoured as a Federation Fellow, and later as a Fellow of the Australian Academy of Technology and Engineering in recognition of his 25 years of commercialising science and technology into successful products.
