The DigitalOcean team was inspired by a Hackathon event in New York, where they offered sponsorship and free cloud hosting to the winning team, cLoudspeaker, who created an innovative hack that streamed music simultaneously from multiple devices using their cloud platform. The energy at the event was described as amazing, with great teams of developers working together to create something new. The DigitalOcean team was impressed by the potential of technology to cross into the physical world and is excited to see what other projects these hackers will come up with in the future.