Great VC’s are afraid of web 2.o

Joshua Jaffe wrote a great article over at theDeal about how Web2.0 may not signal any significant trend in VC habits as some have suggested. I’m no VC but I totally agree. Here at Curious Office we’re trying to build products and we’re trying to build companies but I don’t think we’re trying to build a Broadcom. Or, a Cisco. These kinds of efforts need VC dollars and they always will. That Writely sold to Google and never raised outside equity in the process shouldn’t suggest at all that VC’s got “blocked out”. In fact, I know that Writely had been soliciting many VC’s before selling the company. Most said “neat but no”. Others enlightened them and said “neat but you should sell now and not raise a bunch of money”. Hence, the Google sale. The only thing I would suggest in response to this article is that IT’S OK TO INVEST IN A PRODUCT THAT ISN’T A COMPANY. We did it with FeedDigest. It’s not a black or white issue. It’s a question of how much capitalization you are talking about. It’s on that basis that we started Curious Office.

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