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Is this actually true? It sounds more like a claim by a random person.

• fakedang 3y ago
  It's just a quip on pg's take. But the core idea is true, in that YC companies tend to make more money through dealing with other YC companies, before growing reputed enough to take in customers outside YC.
  • catchnear4321 3y ago
    this is true for more than just yc, happens in a lot of vc. if your saas becomes a customer of mine, and we share a common, well, let’s call it financier because that’s polite, then your helping me profit helps my helper, which is your helper. you might get some help for that. now even more exciting is if my saas can become a customer of yours. we can both have better numbers, legitimately, and that makes our common master happy, twice.
    • DougN7 3y ago
      I worked at a VC funded startup many years ago and we were essentially forced to do something like this for one of the other VC’s failing companies. We spent our limited funds on them, which we didn’t need, and it ended up sinking us. So in my opinion, the article is more about a shell game than anything positive.
• deleted 3y ago
  [deleted]
• localhost3stax 3y ago
  It’s definitely true in spirit, and I think well acknowledged by Y Combinatorians. When you think critically about this number, the level matters almost 0, the trend means everything. It could be 90% and I wouldn’t care as long as that was steadily going down. So ultimately, while this could be interpreted as suspicious or fishy, it could also be interpreted as, wow, they've really built a flywheel for growth.