Earlier quoted context omitted.
I'd love to know who "wins" in a scaled YC vs. the oceanic tide that is the SP500 and it's capital sucking and brain sucking ways. A Google can stop 10000 potential startups simply with RSUs and cap another 10000 by buying them out (which is kinda good for YC but not really... they'd rather own a chunk of a Google).
I think they are both winning. Googling gives "The 2024 Y Combinator (YC) top companies have a combined valuation of $458 billion. In 2023, these companies generated a total revenue of $57.2 billion." Which is not bad starting from basically nothing 20 years ago. I don't think the S&P is doing badly either.
Y Combinator and Power in Silicon Valley
171–179 of 179 posts
Re: Y Combinator and Power in Silicon Valley
#172Earlier quoted context omitted.
What in the article (sentence or paragraph) contradicts what I wrote? The article is about how YC defended one of its funded companies against a legal attack. It doesn’t say anything about YC refusing to fund someone who criticized it.
> Y Combinator was the sort of unforgiving power player that remembered the names of investors who had crossed portfolio companies in the past, *or who had disseminated unflattering portraits of YC*, and blacklisted them from any YC dealings, or from the minds of YC founders If you said something unflattering about YC once and got uninvited from demo day, that's on you. But being black listed from ever investing in a…
The only cases I know of where an investor was banished from Demo Day/YC’s network was for acting in bad faith towards founders. If YC banished investors who had a track record of being great to founders, they would be doing a disservice to founders, and therefore acting against YC’s own interests.
That aside, my original comment doesn’t contradict anything in the article (I can’t speak for the entire book - honestly when I tried reading it I couldn’t get past the first few pages).
Re: Y Combinator and Power in Silicon Valley
#173Earlier quoted context omitted.
I don't think there is any scholarly basis for the term "late-stage capitalism". It's just a meme that kids started using. Power-hungry, unprincipled people will exist regardless of a country's economic system. But people are very imaginative in attributing various social ills to capitalism in particular.
quick Google search shows that the term has been in scholarly use for at least 50 years now and means pretty much exactly what "the kids" are talking about.
https://books.google.com/ngrams/graph?content=late-stage+cap...
You can see from Google Ngram Viewer that there's almost no usage before the year 2000, and the vast majority of usage is post-2015. My guess would be that recent usage has only a tenuous connection, at best, to scholarly usage from 50+ years ago.
Re: Y Combinator and Power in Silicon Valley
#174Earlier quoted context omitted.
I think there may be a few other differences. For example, are people ever given the opportunity to change their behavior before the sanction gets applied? Does the punishment fit the crime? Is there public shaming involved? Do we default to public shaming anyone who says a word in defense of the person who is being sanctioned? (I would say that's the single most pathological feature of cancel culture, actually.) Are…
> Do we default to public shaming anyone who says a word in defense of the person who is being sanctioned? (I would say that's the single most pathological feature of cancel culture, actually.) From the article: > PG shared his anti-Adchemy game plan. In a nutshell: YC would anathematize Adchemy’s VCs, and declare that they’d never do business with YC again unless they straightened this out. Knowing PG, not only woul…
Suppose, hypothetically, that any lawyer who's found guilty of "defending a criminal" receives the same sentence as that criminal. So if you're a public defender, and you defend someone accused of murder, and that person is found guilty and serves a life sentence -- then you yourself are also required to serve a life sentence.
In this hypothetical, the justice system breaks down very rapidly. No one wants to defend the accused anymore -- even if you're fairly sure they're innocent. The risk of being forced to serve the same sentence is just way too high. This has second-order effects. Accusations are now much more likely to be successful, since the accused lack representation. If you're having a beef with someone, you'll want to be sure to accuse them before they accuse you. Etc. Society collapses into chaos.
This isn't just a hypothetical, note. A dean at Harvard was dismissed for representing Harvey Weinstein. Even the ACLU can explain why that was wrong: https://www.aclu.org/news/free-speech/harvard-was-wrong-dism...
Reputational punishments are serious punishments. There's an urban legend that public speaking is a more common fear than death. Obviously, public shaming is even scarier than public speaking -- public shaming is basically the worst-case scenario for public speaking.
If I choose to defend someone whose reputation is under attack, and my reputation gets attacked in response, that's isomorphic to the situation where a public defender gets sentenced for defending a criminal. This helps explain the chaotic, dysfunctional nature of modern cancel culture.
>you are trying to make a distinction between sanctions imposed by people you agree with and people you don't. This is a distinction without a difference.
Consider: "You are trying to make a distinction between punishment administered by the state, and punishment administered by private individuals." There's a huge difference between a judge sentencing a prisoner to 10 lashes with a whip, and a private individual randomly lashing another private individual because they're having a bad day.
There's nothing inconsistent about me trusting PG as an authority in enforcing SV good behavior norms, and me not trusting random vigilantes on social media to correctly diagnose racism/sexism/etc.
If you want to argue that I shouldn't trust PG, the best way to do that would be to mention an example of miscarriage of justice that he's responsible for. If your complaint is just: "but he's acting as an authority!" -- well, it would appear that he's doing a good job, since the Valley seems to be thriving.
Re: Y Combinator and Power in Silicon Valley
#175Earlier quoted context omitted.
I think there may be a few other differences. For example, are people ever given the opportunity to change their behavior before the sanction gets applied? Does the punishment fit the crime? Is there public shaming involved? Do we default to public shaming anyone who says a word in defense of the person who is being sanctioned? (I would say that's the single most pathological feature of cancel culture, actually.) Are…
> And then you can work to punish malicious actors in Silicon Valley who violate important investing norms. That's a pretty generous way of framing it. It's not like this was a concerted effort to protect all small start ups or change employment law to protect founders from legal action from former employers. The article pretty clearly posits that it was a retaliatory exercise of power that was executed to serve the…
>It's not like this was a concerted effort to protect all small start ups or change employment law to protect founders from legal action from former employers.
Imagine you volunteer at a local soup kitchen feeding homeless people. My response: "It's not like this was a concerted effort to feed all homeless people or end the problem of homelessness."
Re: Y Combinator and Power in Silicon Valley
#176Earlier quoted context omitted.
> Y Combinator was the sort of unforgiving power player that remembered the names of investors who had crossed portfolio companies in the past, *or who had disseminated unflattering portraits of YC*, and blacklisted them from any YC dealings, or from the minds of YC founders If you said something unflattering about YC once and got uninvited from demo day, that's on you. But being black listed from ever investing in a…
The quoted book was being purposefully colorful and inflammatory for literary effect, but it still doesn’t make any claims of investors being “blacklisted” just because they said something unflattering about YC. (“Disseminating unflattering portraits” implies some kind of organised campaign to damage YC, and I have no idea if that really happened or if it’s just part of the colorful/exaggerated writing). The only cas…
Re: Y Combinator and Power in Silicon Valley
#177Earlier quoted context omitted.
I think they are both winning. Googling gives "The 2024 Y Combinator (YC) top companies have a combined valuation of $458 billion. In 2023, these companies generated a total revenue of $57.2 billion." Which is not bad starting from basically nothing 20 years ago. I don't think the S&P is doing badly either.
I like this metric. YC doesn't own all of that but that doesn't matter for this exercise. That $458 billion is disjointed. It cannot move as one (when needed) like say Microsoft can. It cannot buy GitHub or OpenAI. But then it wont self distruct either. That is both a plus and minus.
Re: Y Combinator and Power in Silicon Valley
#178Earlier quoted context omitted.
no, it's not the Peter Principle. The Peter Principle is pointing out that if you keep getting promoted by doing an exceptional job, and you stop getting promoted when you stop, that you have ended up leaving a job you were exceptional at, and landing in a job you are not good at. In a certain sense it's saying "you should be demoted back to your last job that you were exceptional at"; it's not suggesting that, it's…
I think you'd be hard-pressed to make a case that VC-motivated business scaling does not consistently overinflate the businesses which are artificially propped up by investor cash. There are a bunch of companies, existing and dead, that show the folly of growth-at-high-cost.
Re: Y Combinator and Power in Silicon Valley
#179Earlier quoted context omitted.
This. If you believe for one second that money and power hungry people have any kind of principles, you have not been paying attention. Cancel culture, woke, left, right, center, free speech – they will say whatever to get what they want on these topics, and change their opinion the next day without any real consequences. Welcome to late-stage capitalism.
> Welcome to late-stage capitalism. Good reads/resources about this? I started reading "What's Our Problem" [1] but find it difficult to find "non-partisan" resources nowadays. [1] https://www.goodreads.com/book/show/102146148-what-s-our-pro...