Joho the Blog
An Entry from the Archives

Moderated by James Surowiecki who writes about business/finance for the New Yorker. (I am an admirer of his writing.) It's a panel on the investment environment.

One of the VC's puts it baldly: his role is to put out as little money as possible and get as much control of the funded company as possible. Everyone is being more hard-headed about investments, looking for markets that are emerging, management teams that work, etc.

James: In a truly decentralized model, can you VCs make the sort of money you want to make?

Various answers. E.g., you can't be something to everyone in a decentralized environment.

James: Are your ambitions less than a few years ago? Or are you going after particular niches?

Mike Hirshland of Polaris: "The interest in each of these cases is to invest in the winner, the one that defines the platform." But only a few companies can do that directly. You need a "go to market" strategy. [Jeez do I hate that phrase. Allan Karl explains in a chat that it means that they're not looking for innovation.] Says another VC: Home runs are not required; singles and doubles are ok, but they still look for big winners. [Sorry to be vague about who's speaking but there are no name placards.]

Q: Any windfalls coming?