DeSantis Drops Out, Stock Market Soars, and Guest Aileen Lee
Jan 23, 2024
01:15:09
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Aileen Lee, founder of Cowboy Ventures, shares her analysis of unicorn startups. The hosts discuss the surprising performance of the economy and stock market. They also discuss Nelson Peltz's actions at Disney and the controversy surrounding an anti-Semitism task force co-chair.
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Quick takeaways
The number of unicorns (startups valued at over a billion dollars) has significantly increased in the tech industry over the past 10 years.
The majority of new unicorns are now enterprise companies, compared to primarily consumer-focused companies 10 years ago.
The podcast emphasizes the importance of conducting oneself with grace and generosity when leaving a position or relationship to maintain a positive brand and public perception.
Deep dives
Growing Number of Unicorns
In the past 10 years, the number of unicorns (startups valued at over billion dollars) has grown from 39 to 532, signifying a significant increase in the tech industry.
Shift towards Enterprise Startups
The majority of the new unicorns are now enterprise companies, with 80% of the value in the list coming from this sector, compared to primarily consumer-focused companies 10 years ago.
High Number of Paper Unicorns
Around 93% of the current unicorns are still privately valued and have not yet exited. Additionally, 60% of them raised their last funding round during a period of low interest rates.
Potential Shrinkage and Valuation Challenges
Experts predict that the current unicorn list may shrink to around 350 companies, as many are running out of cash and struggling with lower valuations in the secondary markets.
Summary of Podcast Episode
The podcast episode discusses various topics related to venture capital and entrepreneurship. One key point highlighted is the changing landscape of venture capital, with a focus on the increase in capital efficiency for enterprise companies compared to consumer companies. Another key point is the democratization of entrepreneurship, with a shift in the schools founders attend and the sectors in which unicorns are emerging. The episode also touches on topics such as AI, capital allocation, and the importance of leaving with grace in professional endeavors.
Lessons from DeSantis's Speech
The podcast also highlights the importance of how individuals conduct themselves when leaving a position or relationship. It emphasizes the impact of maintaining grace and generosity in the face of transitions, as people remember how someone leaves. The discussion references Governor DeSantis's speech and the missed opportunity to leave on a positive note by demonstrating sportsmanship and acknowledging other candidates. Instead, his speech is seen as negatively impacting his brand and public perception.
Kara and Scott discuss Ron DeSantis' departure from the 2024 race and the Biden/Trump rematch that everyone is dreading. Then, with the good news about the economy and the stock market, what's the best move for investors? Plus, Nelson Peltz continues his Disney proxy fight, and a new report sheds light on the anti-DEI movement. Our Friend of Pivot is Aileen Lee, the founder and managing partner of the VC fund, Cowboy Ventures. She also happens to be the person who coined the term "unicorn" for billion dollar start-ups and shares her latest analysis on those companies.