There isn't a geographic element to seed funding, though.  That's the mistake they all make.  People think they're starting the YC of city x, and then they discover that everyone is competing for the same national (and to some extent even international) founder pool.<p>You're right that office space is a distinction.  It's not an innovation though.  The incubators of the late 90s all did that.  It was a novel move for YC to consciously discard it.  So it's hard to say whether including office space was a deliberate change or a transcription error.  Honestly, I'd guess the latter.  The naive impulse when starting some kind of incubator is always to envision it as a space, rather than a set of relationships between people.