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How Did Ben Horowitz Make His Money?

Published in Technology Entrepreneurship 2 mins read

Ben Horowitz primarily built his wealth through the successful sale of his software company, Opsware, to Hewlett-Packard (HP) in 2007. This strategic acquisition marked a significant financial milestone in his career.

Horowitz cultivated a strong foundation for his entrepreneurial success by navigating the dynamic landscape of Silicon Valley. His early career saw him make a considerable impact at pioneering technology companies before venturing out to found his own enterprise.

Early Career and Entrepreneurial Beginnings

Horowitz gained invaluable experience and made his mark at prominent internet companies during the dot-com era. His journey through Silicon Valley involved key roles that honed his skills in technology and business leadership.

  • Netscape Communications: Horowitz held significant positions at Netscape, a company instrumental in the early commercialization of the web browser.
  • America Online (AOL): Following his time at Netscape, he continued to contribute to major internet players like AOL, further solidifying his expertise in the tech industry.

These experiences provided him with the insights and network necessary to embark on his own venture.

The Opsware Success Story

The pivotal moment in Ben Horowitz's wealth accumulation came with the founding and subsequent sale of Opsware.

Opsware, originally Loudcloud, was a software company focused on data center automation. After navigating the challenges of the dot-com bust and a strategic pivot, Horowitz successfully built Opsware into a valuable enterprise. The company's innovative solutions in managing IT infrastructure caught the attention of larger tech players.

Company Role / Event Contribution to Wealth
Opsware Founder, President & CEO Primary source of significant wealth from its acquisition by HP.
Hewlett-Packard (HP) Senior Vice President and General Manager, Business Technology Optimization for Software High-level executive compensation and continued career growth post-acquisition.

In 2007, Hewlett-Packard acquired Opsware for approximately $1.6 billion. As the founder and leader of Opsware, Horowitz received a substantial payout from this acquisition, marking his largest financial gain mentioned in his early career.

Following the acquisition, Horowitz continued his leadership role within HP. He served as a senior vice president and general manager for Business Technology Optimization for Software, further contributing to HP's software division and maintaining a high-profile position in the tech industry. His journey from an impactful employee to a successful founder and then a senior executive at a major corporation illustrates the trajectory that enabled him to build significant wealth.