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Innovation in America is essentially dead. First VC's don't know a good product when they see one, and they won't do due diligence on new products. So, they loo
by jbottoms 7y ago
Innovation in America is essentially dead. First VC's don't know a good product when they see one, and they won't do due diligence on new products. So, they look to the tech companies that control the markets. Second, the services the tech giants are providing result in "soft GDP" dollars. We need VC's to be more community aware, and stop chasing cotton candy. WeWork is a rent seeker that has inserted another layer into the rental arbitrage process. That does not help the U.S. economy.
- ibeckermayer 7y agoWhat do you mean by “they look to the tech companies that control the markets”?
- jbottoms 7y agoVC's want to keep their risks low, they are more like investment bankers than true VC's. If someone approaches them with a seemingly good idea, they will want to unload it after a development period and realize a 10:1 return. So, they will first talk with a couple of the big companies and try to "pre-sell" the concept without giving away too much of tge secret sauce. In essence, VC's are captive by the tech giants, just as are most professors, and university curriculums.