Ridiculous venture money in tech right now
Jul 20, 2021
11 Comments
Just saw a $125M series A and a $100M series B. Every tech company on LinkedIn is raising early rounds in the hundreds of millions. What is exactly happening? Are venture capitalists just chasing deals that it’s gotten this ridiculous?
I used to determine a company’s trajectory based on funding rounds but with stuff like this it’s just getting crazy now
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Besides, there are many more problems that can be solved with advances in the field, and hence many more viable business models
So you get to ~20m and start trying to be part of the next big thing.
On one hand you can blame the whole "outfund" mantra that birthed Uber. But I think the reality is there is just way more money floating around then there is viable companies to suck it up.
So the real question is , is this a bubble?
Personally, I don't think so.
Over the past 15 years tech had been focused on creating new markets: video, search, social media
But they are finally starting to turn backwards and eat all the traditional players.
So is there a bunch of idiot funds with too much money to spend? Yes.
Are startups still going to see great returns? Yes.
Am i leaving Google for one? Yes.
Market is on fucking fire and will be so for the next few years.