December 15, 2022 • 40min

Blake Scholl: How Boom Supersonic Took Flight

Pattern Breakers

In this episode of Pattern Breakers, Mike Maples Jr. interviews Blake Scholl, founder and CEO of Boom Supersonic. Boom is developing supersonic passenger airplanes with the goal of dramatically reducing flight times on long-haul routes while keeping fares comparable to current business class prices. The discussion covers the origins of Boom, the state of the commercial aviation industry, challenges in developing supersonic aircraft, fundraising strategies for ambitious hardware startups, and broader lessons for entrepreneurs tackling seemingly impossible problems.

0:00

-0:00

Key Takeaways

Boom Supersonic is developing supersonic passenger airplanes that aim to make flights like Tokyo to Seattle possible in 4.5 hours or New York to London in 3.5 hours at business class fares
The commercial aviation industry has stagnated in terms of speed improvements over the past 50+ years since the Concorde, with planes actually flying slightly slower now
Boom is the first commercial aircraft startup founded by entrepreneurs in over 100 years, since Douglas Aircraft in 1921
Key technologies needed already exist - Boom is essentially taking a Boeing 787, making it long and skinny, changing the wing shape, and adding more engines
Established players like Boeing face an innovator's dilemma in pursuing supersonic, as it would cannibalize their existing subsonic plane sales
Boom's approach focuses on balancing engineering, market analysis, and passenger experience to achieve product-market fit
Fundraising strategy involves systematically de-risking the business by accomplishing visible milestones that increase probability of success
Tech founders are increasingly pursuing ambitious hardware/infrastructure projects in areas like aerospace, automotive, and space that were previously seen as off-limits
Many important problems are "hiding in plain sight" due to the bystander effect, where people assume someone else must be working on obvious issues

Introduction

In this episode of Pattern Breakers, Mike Maples Jr. interviews Blake Scholl, founder and CEO of Boom Supersonic. Boom is developing supersonic passenger airplanes with the goal of dramatically reducing flight times on long-haul routes while keeping fares comparable to current business class prices. The discussion covers the origins of Boom, the state of the commercial aviation industry, challenges in developing supersonic aircraft, fundraising strategies for ambitious hardware startups, and broader lessons for entrepreneurs tackling seemingly impossible problems.

Topics Discussed

Origins of Boom Supersonic (2:39)

Blake Scholl explains how he came to start Boom Supersonic:

Had loved airplanes since childhood and been flying for fun since college
First career was in tech (Amazon, Groupon)
Set personal goal in mid-20s to break the sound barrier as a passenger
Put Google alert for supersonic passenger travel but saw no credible efforts
After selling first startup to Groupon, wanted to work on most personally motivating idea
Ranked startup ideas by how happy he'd be if successful, with supersonic travel at the top
Initially thought he'd quickly realize why it was impossible, but found it could work

Scholl emphasizes the importance of pursuing ideas you're passionate about rather than just playing to your existing skills: "If we had said, let's go create something that we want to exist in the world, we would have ended up in a very different place. I think we valued what we thought we were good at versus what we wanted to create."

State of Commercial Aviation Industry (10:00)

The discussion covers how progress in commercial aviation has stagnated:

Peak of innovation was around 1969 with Concorde's first flight and moon landing
Commercial planes are actually flying slightly slower now than 50 years ago
Last major innovation cycles were driven by founders (e.g. Douglas, de Havilland)
Industry now dominated by financial/business types focused on optimization
Basic airplane designs and capabilities haven't changed significantly in decades

Scholl notes: "If you take a look at the Google the 707, which is Boeing's first jetliner, then Google the 787, put them next to each other. It's a tube with wings and the, the materials and the engines and the wings and lots of things have been optimized, but the basic design and the basic capability, how long does it take to get from point A to point B is not any better. In fact, it's a little bit worse."

Why Established Players Haven't Pursued Supersonic (11:44)

The interview explores reasons why companies like Boeing haven't developed supersonic passenger planes:

Innovator's dilemma - supersonic would cannibalize subsonic plane sales
Long development cycles (10-15 years between major programs)
Need for decades-long production runs to recoup investments
Regulatory challenges like overland speed limits in the US
Smaller market for business jets that can't fly supersonic over land

Scholl explains: "The pace of innovation in large airplanes is so subsonic that there's only one new major program every ten or 15 years. And the billions to get invested to build an airplane ends up being in a low margin product that has to be in production literally for decades to earn back the investment."

Building the Boom Team (15:55)

Scholl describes his approach to hiring and building the initial Boom team:

Spent a year self-educating on aerospace engineering fundamentals
Used LinkedIn connections to network into aerospace industry
Asked each contact who the ideal hires would be, recursively building network
Organized 2-day session at Sequoia Capital to assess potential hires
Focused on finding people with deep knowledge and strong communication skills

On assessing talent outside his domain expertise, Scholl says: "My favorite interview questions in the early days...is just asked to teach me something. I can assess whether someone really knows what they're doing and how they answer that, regardless of whether I know the answer myself."

Achieving Product-Market Fit for a Supersonic Jet (21:32)

The discussion covers Boom's approach to product-market fit:

Initial breakthrough insight was all-business class supersonic plane at business class fares
Focused on balancing three key elements:
- Engineering - making the plane physically work
- Market analysis - optimizing range, fuel efficiency, passenger capacity
- Passenger experience - ensuring comfort and desirability
Built physical cabin mockups and ran simulated services to refine experience
Evolved from initial 32-seat concept to 65 seats for better economics
Considered competitive responses when defining minimum viable product

On balancing tradeoffs, Scholl notes: "If I make an excessively large seat, the aerodynamics are worse, the airplane's heavier, it can't fly as far. The cost per seat mile or worse. And so as we kind of go through development of the product, we try to keep our three legged stool in balance such that we don't ever lose product market fit, but we get it in detail."

Fundraising Strategy (29:58)

Scholl outlines Boom's approach to fundraising:

Initial $770k seed round similar in size to his previous startup
Mix of previous backers and aviation enthusiasts as early investors
Strategy of raising money, accomplishing milestones, repeat
Focus on tangible, visible progress to maintain fundraising momentum
Systematically de-risking different aspects of the business
Using pre-orders and partnerships as proof points for product-market fit

On the importance of visible progress, Scholl says: "I thing I've deeply learned in this business is tangible, visible, relatable progress is essential for continuing to be able to fundraise. As we sit here, I'm 50ft away from the airplane, and this is the only building in the world that has an operational, non-military supersonic jet. And for customers and for investors, that is meaningful."

Overcoming Challenges and Near-Death Experiences (34:29)

Scholl shares an example of a critical early challenge:

Approached by entrepreneur offering to buy out and recapitalize the company
Claimed to have access to $1 billion in funding and be a better CEO
Scholl was initially intimidated but ultimately decided not to sell
Realized giving up would mean losing the most important work of his life

On the decision to continue, Scholl reflects: "I ultimately decided that what mattered there was to prioritize my own happiness and that I would never forgive myself for giving up. In retrospect, that decision aged well."

Lessons for Entrepreneurs Tackling Ambitious Problems (37:15)

The discussion explores broader lessons for entrepreneurs pursuing ambitious hardware/infrastructure projects:

Success of companies like SpaceX and Tesla has opened doors for others
Boom's progress has made it easier to start aerospace companies
Many important problems are "hiding in plain sight" due to bystander effect
People assume obvious problems are either being solved or impossible
Creates opportunities for entrepreneurs willing to tackle seemingly intractable issues

Scholl explains the bystander effect: "People think when a problem is really obvious, that either somebody really good is on it or it's actually impossible. And the result of that is many times the most important, actually, in some cases, most easily solvable problems are hiding out there and everyone just accepts them."

Conclusion

The conversation with Blake Scholl highlights how ambitious entrepreneurs are increasingly tackling complex hardware and infrastructure challenges that were previously seen as off-limits to tech founders. Boom Supersonic's efforts to revive supersonic passenger travel illustrate the potential for startups to drive innovation in industries that have stagnated. Key lessons include the importance of pursuing ideas you're passionate about, systematically de-risking ambitious projects, and being willing to take on seemingly intractable problems that others have overlooked. As more founders follow in the footsteps of companies like SpaceX, Tesla, and Boom, we may see a new wave of innovation in aerospace, transportation, energy, and other critical infrastructure domains.