The Impact of Venture Capital on the Industry

I disagree with your last assertion that the business model is not profitable but let me answer the direct question and I'll talk about that. If you look back to 95, 96, 97 the venture capital industry was significantly smaller than it is today 97 through 2000 it exploded at mushroom. Too much money in venture capital in my opinion is a problem. It means you fund a lot of stupid ideas. When you start a company you've got four competitors each giving away product for free when they probably shouldn't be. Early stage investors less money lower price should expect to get more returns than someone who's investing at late stage. Each market seed A, B, expansion IPO ought to be a fixed size