Fake Steve Jobs, while fake, has a very accurate commentary on VC in the whole Web 2.0 world.
A handful of VCs have created the illusion of an actual market by funding apps companies and then doing deals with each other -- passing cash back and forth among to make it look as if money is being made. [...] What really freaks me out is that when you mention this to the VCs, they say, "So what? What's wrong with that?"
Truly, what makes FaceBook worth $9b? $15b?
I thought this was an interesting POV regarding VC money...
http://www.37signals.com/svn/posts/1012-ravelry-gets-funding-from-its-own-community
Posted by: Scott Wintheiser | May 05, 2008 at 11:25 AM