Did you read the part where Paul Graham implies that a significant fraction of the startups in his program (YC) grow at a rate of 5-7% a week? I.e., every week they get 5-7% more users than they did the week before.
Yes, most of these users are non-paying users, but the experience of VCs and angel investors has been that if even one startup in an investor’s portofolio manages to acquire multiple 100s of millions of non-paying users, that startup will usually eventually figure out how to make enough money to make up for all the failed startups in the portfolio.
The money in VC funds exceeds what the few VCs who are able to recognize good startups are able to usefully invest.
Did you read the part where Paul Graham implies that a significant fraction of the startups in his program (YC) grow at a rate of 5-7% a week? I.e., every week they get 5-7% more users than they did the week before.
Yes, most of these users are non-paying users, but the experience of VCs and angel investors has been that if even one startup in an investor’s portofolio manages to acquire multiple 100s of millions of non-paying users, that startup will usually eventually figure out how to make enough money to make up for all the failed startups in the portfolio.
Agree.