Most Silicon Valley firms are coasting on momentum left over from a burst of innovation that ended long ago, says venture-fund investor Peter Thiel. The tech sector looks remarkably like the auto sector of the 1950s, Thiel argues -- a time when companies were growing rapidly, but the growth was driven by innovation efforts left over from the 1920s. "If you were a tech investor in the 1950s you wouldn't invest in car companies," Thiel notes.

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