I saw pg give a talk a couple of weeks ago at a YC event for Cornell alumni (I'm May '10 and still on campus doing research + my own projects), and asked what he thought the reasons were that Cornell didn't have a larger startup community. The response he gave was that few VCs, if any, are ever going to go up to Cornell, which I think validates your first point. Here there's no prestige associated with starting something, and being a typical status-obsessed Ivy League, it figures that creating a startup doesn't even occur to most people. Contrast this with Stanford, which has produced many successful startups, and where not working at a startup is a conscious decision that people make (or so I've heard).<p>That being said, another reason for the lack is partly that the hacker culture isn't as visible at Cornell, given its many schools and diverse set of students. I've met people with interesting projects that few, if any, ever catch wind of.<p>I think moving forward, there is reason for hope. Firstly, Cornell has a large student population, which provides rich soil for fomenting and validating ideas. Next, the CS department is fairly highly ranked, so one hopes that there is a good amount of talent out there. Finally, there have been some startups founded by Cornellians in recent years, both while in school (e.g. Wiggio) and after (Opzi, YC funded, I think). You have to look a bit harder, but the signs are there. A friend of mine developed jitouch, a multitouch extension for the mac in his free time, and is now working on an ios game.<p>People are interested. Especially with the Gates building coming up in a few years and serving as a nexus for all things computer, the time is near when all the disparate threads will be woven together. The seeds are already being planted. I met a sophomore at the talk I alluded to above who's excited about bringing a startup weekend type event to campus this year. Clubs also help, and I think to be useful to hackers, you want to provide at least:<p>1. Opportunities to network to find co-founders - i.e. startup weekend, demo day, meetings/weekly brunch (or other meal)<p>2. Opportunities to share and develop ideas - i.e. startup weekend, demo day, hosting resources (maybe)<p>3. Guidance on what comes after - speakers (though it is admittedly hard to convince people to come up to Ithaca), maybe networking with some angel investors once in a while, perhaps curate a biweekly/monthly newsletter of startup related news (for visibility).<p>The best is yet to be. Expect great things.