Since half of YC's portfolio is in a company that was considered "a feature" by Steve Jobs, I don't think he needs to justify these investments to anyone.
I have this argument at my job all the time: should we be worried, when consulting with clients attempting to build startups, about the giants in their industry stealing their ideas? My answer is always no: worst case scenario they'll try to buy you in order to copy you. Next worst they'll try to copy you once you're already becoming successful. Neither of those are bad scenarios.
Big companies don't try to copy unsuccessful ideas, it never happens.
"Big companies don't try to copy unsuccessful ideas, it never happens."
Have you ever worked at a big company? Big companies are so dysfunctional. It's not that the individuals are stupid but the broken dynamics of people working together can generate some pretty dumb decisions.
Big companies copy bad ideas all the time. This is one reason why startups can disrupt them.
"worst case scenario they'll try to buy you in order to copy you. Next worst they'll try to copy you once you're already becoming successful. Neither of those are bad scenarios."
This makes no sense. If they buy you, that's NOT the worst case scenario. The founders walk away wealthier. If they try to copy and succeed, the founders walk away with nothing. That is worse than them trying to buy the company.
I don't understand why "Neither of those are bad scenarios." The first one is possibly good, depending on what they're offering for the company.
You're missunderstanding my point: big companies have tons of bad ideas internally, but the ideas they try to copy are ones that are rapidly gaining traction.
Comments
Since half of YC's portfolio is in a company that was considered "a feature" by Steve Jobs, I don't think he needs to justify these investments to anyone.
I have this argument at my job all the time: should we be worried, when consulting with clients attempting to build startups, about the giants in their industry stealing their ideas? My answer is always no: worst case scenario they'll try to buy you in order to copy you. Next worst they'll try to copy you once you're already becoming successful. Neither of those are bad scenarios.
Big companies don't try to copy unsuccessful ideas, it never happens.
"Big companies don't try to copy unsuccessful ideas, it never happens."
Have you ever worked at a big company? Big companies are so dysfunctional. It's not that the individuals are stupid but the broken dynamics of people working together can generate some pretty dumb decisions.
Big companies copy bad ideas all the time. This is one reason why startups can disrupt them.
"worst case scenario they'll try to buy you in order to copy you. Next worst they'll try to copy you once you're already becoming successful. Neither of those are bad scenarios."
This makes no sense. If they buy you, that's NOT the worst case scenario. The founders walk away wealthier. If they try to copy and succeed, the founders walk away with nothing. That is worse than them trying to buy the company.
I don't understand why "Neither of those are bad scenarios." The first one is possibly good, depending on what they're offering for the company.
You're missunderstanding my point: big companies have tons of bad ideas internally, but the ideas they try to copy are ones that are rapidly gaining traction.
I think he could "justify" his investments in his essays for an educational purpose.