Having all companies in one location also, to an extent, inhibits each company from growing or fostering its own personal culture. At the very least, their cult

Having all companies in one location also, to an extent, inhibits each company from growing or fostering its own personal culture. At the very least, their culture changes as a result of being in that environment. My takeaway is that YC would rather each individual company decide with whom and where to work – it's all in the spirit of encouraging entrepreneurs and not forcing them down a predefined path.