Had a chat with Alexis Ohanian, co-founder of rapidly rising reddit yesterday at ROFLcon. Their buy-out by Conde Nast appears to be Y-Combinator's first big payoff. He said the Y-combinator experience was great and he would do it the same way again if given the chance (yeah, sign me up while you're at it - especially that buy-out bit at the end). He revealed that YC turned down their initial idea - ordering take out through txt messages. A call from Paul the next day encouraged them to come up something else. Think fast! He and Steve came up with the Reddit idea in a few hours on the train ride home.
In unrelatd news, Alexis gave up on trying to use his XO laptop and instead asked presenters at ROFLcon to sign it in order to raffle it off to, as he put it, "buy porn... I mean, give the proceeds to OLPC." I suppose OLPC could use the help.