With the current AI wave, will VC funding become less necessary and therefore create too much supply of dry powder in the market? Seems VC may mostly be needed in the future for extremely capital intensive startups (compute, clean tech energy, robotics, etc) and startups that need to scale extremely quickly. Is better to be a builder right now than an investor? Thoughts?

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It is best to be whatever you are. There will always be changes coming along, and all the AI innovation may bring profound changes. But there will always be places for people who have a vision and work at it relentlessly. VC firms will always be on the lookout for good ideas and dedicated founders, so there's probably not much point in worrying about the future in that regard.

I don’t think people are making the decision between builder vs investor.

VC is meant to accelerate growth and establish market dominance. Even if you run lean, you can still benefit from extra cash.

Is it cheaper to boot strap today? Sure. But bootstrapped companies and funded companies are very different approaches to startups.

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