Introduces New Class of Founder Stock
via techcrunch.com
If this takes off it'll great news for founders. As Arrington points out in the article, though, it's entirely dependent on investors accepting the terms. No money means no traction. Also worth noting is that Arrington sits on the advisory board for the institute, so he's not exactly unbiasd. :-)
It would be cool to see it succeed, though. Definitely has potential to help entrepreneurs in the Valley (and elsewhere). Of course, that depends largely on how it's executed, and whether non-affiliated investors see membership in the Founder Institute as a good thing or as a red flag.