Travis Kalanick Criticizes Venture Capitalists, Estimates Only 1% Are Helpful
· Business · TechCrunch, Fortune
Travis Kalanick, the founder of Uber, recently expressed a low opinion of the venture capital industry, claiming that only 1% of investors are genuinely helpful to founders. Kalanick, who is currently raising funds for his robotics company Atoms, stated that most VCs fail to meet the basic standard of doing no harm. He compared the relationship between founders and investors to a chess master and an enthusiast who only observes the game occasionally. Despite his criticism, Kalanick advised founders to create bidding wars among firms to secure better deals. He also cautioned against sharing excessive detail in fundraising pitches, noting that the rapid pace of AI development makes long-term predictions appear naive.
Why it matters
Kalanick's perspective offers a rare, critical view of the power dynamics between high-profile founders and the venture capital firms that fund them.
Read the original report — TechCrunch
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