4 ms·

Ask HN: Applying to YC with a product competing a YC company

6 points by sanketsaurav 12y ago

We have just passed out of college, and have built a B2B product which is in direct competition to a YC company. Our product has got really good traction in two months, with at least 8-10 big companies using it in private beta. We want to be a part of YC and thinking of applying for W15 batch. Would it be a good idea? Is there a policy that prevents YC to accept companies in the same domain?

perphywoo 12y ago
Peter Thiel on monopoly and competition is inspiring. Just in case you missed this
patio11 12y ago
YC has the exact opposite of that policy. They'll fund competitive companies. Numerous examples exist. I would be prepared for the question "What do you understand about this that $COMPANY does not?", but you should expect them to ask that about the industry leader first, rather than about a startup with a market share measured in basis points, which describes the overwhelming majority of startups (YC funded or otherwise). I would also be prepared to have people, perhaps including the YC folks and perhaps not, tell you "You're not actually in competition with them."
- sanketsaurav 12y ago
  Thanks for clearing this out. This is also mentioned in one of their FAQs. The companies who are our private beta customers have been using the other company's product (and a few others in the market) for long, and they were dissatisfied. We sat down with at least 15-20 of them and figured out what was the reason. We think we have "What do you understand about this that $COMPANY does not?" figured out. And the product has been very well received. Actually, we ourselves think we are not in competition with them, because although we are trying to solve the same problem, our approach is starkly different from theirs. So, we're prepared for that as well. :)
  - loumf 12y ago
    You compete with someone if you are substitutable (customers choose one of you, not both), not because you do it a different way.
akurland 12y ago
You should definitely apply. In my batch there was a company in the same space as mine, we don't compete directly but it's pretty close and certainly could down the road. They were very good about it.

6 points by sanketsaurav 12y ago

perphywoo 12y ago

Peter Thiel on monopoly and competition is inspiring. Just in case you missed this

patio11 12y ago

YC has the exact opposite of that policy. They'll fund competitive companies. Numerous examples exist. I would be prepared for the question "What do you understand about this that $COMPANY does not?", but you should expect them to ask that about the industry leader first, rather than about a startup with a market share measured in basis points, which describes the overwhelming majority of startups (YC funded or otherwise). I would also be prepared to have people, perhaps including the YC folks and perhaps not, tell you "You're not actually in competition with them."

sanketsaurav 12y ago
Thanks for clearing this out. This is also mentioned in one of their FAQs. The companies who are our private beta customers have been using the other company's product (and a few others in the market) for long, and they were dissatisfied. We sat down with at least 15-20 of them and figured out what was the reason. We think we have "What do you understand about this that $COMPANY does not?" figured out. And the product has been very well received. Actually, we ourselves think we are not in competition with them, because although we are trying to solve the same problem, our approach is starkly different from theirs. So, we're prepared for that as well. :)
- loumf 12y ago
  You compete with someone if you are substitutable (customers choose one of you, not both), not because you do it a different way.

akurland 12y ago

You should definitely apply. In my batch there was a company in the same space as mine, we don't compete directly but it's pretty close and certainly could down the road. They were very good about it.