I love the initiative. But man, what an amazing amount of effort to hack around america's broken visa situation. This should be embarrassing to every representative, senator and the president.<p>Worse, I'm half afraid if they build it, the US will just unilaterally declare that its borders extend out 20 or 50 miles into the sea. (they've done this with fishing rights in the past, I believe.) Or if they can't extend the borders, I don't expect the DHS to be very friendly to these people. ITs very obviously a hack around US's sovereignty and therefore will be perceived as a threat. Britain barely tolerates sealand mainly because of the genteel culture that appreciates eccentrics. IF Sealand was big enough to grow and be a real economy, it wouldn't be tolerated for very long. The US has less of a tradition of tolerance for these kinds of experiments.<p>I do think starting with a cruise ship is probably a good idea-- there are a lot of used cruise ships and they depreciate quite a bit over their working career. You could get a really nice ship really pretty cheap because there isn't much else of a market for them outside the cruise industry (and scrap doesn't pay that much.) I say this with some confidence because I've priced out cruise ships in the past for another idea (that was just an idea, not a project.) Eventually a lot of the ships become nearly free, and sell for the cost of a couple months moorage. Though of course on the older ships, renovations become expensive. TANSTAAFL. But old ships approach scrap value.<p>The sad thing is, if Peter Theil wanted to create a startup incubator City, and was willing to do it in Chile, the Chilean government would probably loan him all the money necessary to buy the land (say an hour or 2 out of santiago) and let him go to town. He could likely import as many startups as he wanted. A chilean residency visa for a year isn't that hard (costs about $1,000) and can be renewed each year and eventually you can just get a permanent residency visa if you want.<p>It just seems wrong to see people trying to bring startups to a country that clearly doesn't give a damn about them... when there are other countries that truly do give a damn.<p>Silicon Valley is a result of a historical confluence- the WWII industry, schools and all that. It won't be replicated and the government of California and the USA generally seems to take it for granted. (I read yesterday that tax receipts in california dropped %22 last year because of businesses leaving the state.)<p>I think the silicon valley of the next 50 years won't be in california... I think it would be better spending the effort building it somewhere that has a chance (notice how the tolerant regulatory environment of blue seed was one of its big attractions.) Whatever you build won't be just like silicon valley... but if it has a good visa policy, it will start attracting the best and the brightest from all over the world, because, frankly, most governments are hostile to business one way or another (even when they don't intend to be.)