Schiff, who has been a regular customer for nine years, says, "It's like a theater. All kinds of people come together here and drift apart. This place is full of drama."

Coffee Society, since it opened in 1989, has been the gathering place in Cupertino. From sunrise to midnight, different crowds go to the cafe and mingle. Techies play chess with punks. Stay-at-home mothers nurse their babies and chitchat while entrepreneurs sitting nearby hold a business meeting. Poets, musicians and writers go there to get inspiration and perform. On any given day, the cafe serves at least 800 customers.

"This is the place to see and to be seen," says Ralph Flynn, founder and owner of Coffee Society. "We are a nightclub without alcohol."

Flynn worked in sales, marketing and venture capital for 20 years before he settled down and opened his cafe.

Coffee Society's fame goes beyond the Pacific Ocean. One Japanese television program sent its crew to Cupertino to make a special show introducing the cafe.

Flynn says the reason behind the popularity of Coffee Society is the basic human desire to connect.

"We are not just selling coffee and pastry," says Flynn, 58. "We are selling a philosophy and a lifestyle."

Flynn says what sets Coffee Society apart from other coffeehouses is its laid-back, European-style ambiance.

"In Europe, cafes are called penny universities. People just buy a cup of coffee for a penny and talk about everything from science to politics," Flynn says. "That's what I want Coffee Society to be."

To create an optimal conversational environment, Flynn hires artists, students and others who can strike up an off-the-wall conversation. Employees are also required to read his essay, "The Great Good Place."

In the six-page-long essay, which is based on Ray Oldenburg's book of the same name, Flynn encourages his employees to keep Coffee Society an ideal "third place." According to Oldenburg, a sociology professor at University of West Florida, the first place is where people live; the second place is where people work; the third place is where people meet informally.

"The character of a third place is determined most of all by its regular clientele and is marked by a playful mood, which contrasts with people's more serious involvement in other spheres," Oldenburg has said. "They are the hearts of a community's social vitality, the grass-roots of democracy, but sadly, they constitute a diminishing aspect of the American social landscape."

Flynn says, "Coffee is the common denominator. Society is about people," he says. "Coffee Society is a gathering spot for people to enjoy coffee and feel this is a home away from home."

That Flynn knows of, 54 people, including himself, met or had their first date with their future spouse at Coffee Society. Sunnyvale residents Audra Lemke and her husband, Steve, had their first informal date at the cafe. This year the couple celebrated Valentine's Day at the cafe with their 18-month-old daughter.

"It's nostalgic for us to go there and think about how we first met and hung out there," Lemke says.

The cafe has been the site of other kinds of new beginnings. During the boom period, dozens of companies started up at the cafe. Schiff says women went to the cafe in hopes of meeting and eventually marrying a dot-com millionaire. Even though Internet business has soured, the former dot-com elite still come to Coffee Society but now to have job interviews or just to sit in a corner and sip a cup of espresso.

"No matter how bad the economy is, people feel like a king if they have a cup of coffee," Schiff says. "Coffee Society brews a cup of life."

From 6 a.m. each morning, the cafe's espresso machines are working nonstop. Coffee Society has more than 35 different coffee beans from all over the world and roasts the beans every other day.

The coffee machines aren't the only pieces of equipment kept busy in the cafe. A CD player constantly pumps out classical, jazz and folk music. Different types of music are chosen to fit the mood and the type of customers in the shop at a given time.

Good coffee and good music aren't enough. Flynn says a successful third place should be a place that exists on neutral ground and treats its guests equally. Conversation is the primary activity. And the cafe should be open during off-hours to allow the flow of informal lifestyles. He also asks his employees to remember their customers.

"The best way to remember people's names is to be interested in the individual person and make friends with them," Flynn says. "When you get to know your customers, you remember them as friends, not just their names."

Flynn treats his customers like family members. When a regular didn't show up for two weeks, he called and paid a home visit to make sure the customer was not sick.

The staff's caring attitude has made Coffee Society a community of its own. On Sept. 11, 2001 and during the war with Iraq, customers came to the cafe to debate and seek solace.

"Our cafe is busier during times of crisis," Flynn says. "People want to be together and talk. We are here to foster that communication."

Flynn says regular customers are the keys to the cafe's success.

"We have the best quality customers. They have diverse backgrounds and interests," Flynn says. "A third place is just a space unless the right people are there to make it come alive, and they are the regulars. They are part of the attraction and part of the business."

Teo King, who has hung out at the cafe since he was a De Anza student, literally became part of the business last May by becoming the cafe's co-owner. King, 30, has dabbled in many fields, ranging from venture capital to computer networking. He decided to invest in the cafe when he was laid off last May and spent more time there.

"I can identify with Ralph's philosophy," King says. "And I like the food business. You make your customers happy right on the spot."

King has added new dynamics to the cafe. He plays chess, debates politics and chats with customers as he always has. He and Flynn have worked together to maintain a positive and playful meeting and working environment.

"If we are happy, our employees are happy. If our employees are happy, our customers are happy," King says. "Coffee Society is a place where everyone is recognized and made to feel happy. It is the ultimate third place."