Index Ventures' Danny Rimer shares lessons from missing out on Snapchat, Airbnb, Spotify, and Facebook. He discusses why valuation is a trap, market sizing is noise, and why sector/geo-specific funds are not important in venture capital. Rimer reflects on the importance of recognizing potential in early-stage investments for long-term success.

Mike Volpi and Danny Rimer, the co-founders of the San Francisco office of Index Ventures, talk with Recode's Kara Swisher.In this episode:Volpi and Rimer's backgrounds and the early days of the internet; applying a global perspective to venture capital; being a smaller firm when capital is abundant; why the rise of other regions does not mean Silicon Valley is "over"; open-source culture in Europe; Latin America, Israel, and China; scooters, autonomous driving, and the future of urban mobility; disrupting the beauty and fashion industries; disrupting venture capital itself; over-empowered founders and the WeWork CEO's $700 million cash-out; diversity in tech; techlash and antitrust regulation; and the most overhyped and most underhyped categories in tech.Follow usKara Swisher (@karaswisher), hostMike Volpi (@mavolpi), guestDanny Rimer (@dannyrimer), guestErica Anderson (@EricaAmerica), executive producerEric Johnson (@HeyHeyESJ), producerMore to exploreIf you haven't already, subscribe to Recode DecodeSubscribe to Recode's other podcasts: Recode Media, Pivot, and Land of the GiantsWatch Kara's 2008 interview with Volpi about his video startup, Joost Learn more about your ad choices. Visit podcastchoices.com/adchoices