Sometimes working virtually isn't good enough, especially at the startup stage. According to Blueseed, venture capitalists like to be close to their investments, and sometimes you just need a little face time. They quote the director of research for Google:
It’s 11 hours to Hyderabad. We do video conferences where we’re up late and they’re up early. Maybe a video conference is as good as a formal meeting, but there are no informal meetings. As a result, we lose the pace of work, and we lose trust.
But it is hard to get a work permit in the States these days, even when there are very bright people from around the world who want to be there. I thought there was an answer to this problem, called Vancouver. But even that is too far away. Hence Blueseed: it can float just over twelve miles offshore, sort of a Pirate Radio for entrepreneurs.