"Venture investment is different...It’s the only primary capital investment vehicle that really exists in equity. When you buy from the stock market that money doesn’t really go to AAPL or MSFT, it goes to another person who sold the stock to you, with the intermediaries who take their cut. This means VC is uniquely focused on building up a future that actually doesn’t yet exist."

This is something that is often overlooked but yet so obvious.

At a fundamental level, a company is just a group of individuals brought together to solve a problem. The market determines whether or not the solution they have come up with has any value. The goal should be increase the odds of success, to accelerate economic and technological advancement. VCs take on great risk because they must try to predict that which has no real precedent.

As I have written, I suspect that there is means to improve the fusion between university-government-business, the "triple helix," which would bring together human capital, financial capital, and entrepreneurial spirit, so as to minimize the number of good startups dying in the "Valley of Death."

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Basically the summary of this whole article is - capital is not free anymore like it was in zero interest policy environment, valuations and fundamentals matter again.

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And market structure has changed

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