[nikils]

Intel (a small business in 1968) was started by two physics phd guys. Adobe (a small business in early 1980s) was started by two phd guys. Google (a small business in 1998) was started by phd-dropouts. I think there are many companies started by phds.

If a small company is trying to solve sufficiently complex problem, like what Intel (in 1968), Adobe(in 1980s) and Google(in 1998) were trying to solve they need a phd. If a small company is building a new social network or social app it might not need a phd.