Tim Chang, Managing Director at Mayfield Fund, details early-stage venture capital fund economics and individual partner deal volume.
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“The normal pace for a fund like us, you know, mainstream early stage VC firm of three 50 to four hundred million, we're typically doing 10, 12 deals a year, right? So a mainline VC, we're probably seeing anywhere from 400 to 800 deals a year personally and doing, you know, one to three deals of those per year.”
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More from Tim Chang
PredictionPartly held up
Chang: Startups face an upcoming Series A and Series B funding crunch
“Let's call a spade a spade, and there is no real seed two or seed three. That's basically a bridge, right? That pretty much means you haven't found proper product market fit to extend over into a proper series A, so we will see a big series A crunch series B c…”
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Insight
Chang: Small $750K seed rounds leave startups undercapitalized for Series A
“So the undercapitalized seed or series A will be the new big risk for founders. It is easy to get that first seed round because there's so many seed funds around and it's easy to do a rolling close and do, you know, a safe note and get your seven 50 K in. But …”
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PredictionNot checkable as stated
Chang: Data-poor AI startups will be acqui-hired by major tech incumbents
“If startups can't train on massive proprietary data sets, then they'll never get that advantage on their algorithms. And then they're really targeted for, you know, acqui-hire by Facebook, Amazon, Apple, Google, et cetera.”
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PredictionNot checkable as stated
Chang: Applying AI to existing industries will drive startups for a decade
“Whether it's AR, VR, my favorite AI machine learning, you know, the business plan of the next 10 years will be take machine learning AI, add it to existing industry X, disrupt the whole thing.”
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Insight
Chang: Proprietary data and AI talent are the new oil and gold
“Proprietary data pools and AI talent are the new natural limited resources. They are the new oil and gold, if you will.”
Tim ChangJan 16, 2017▶ 13:2820VC: Why We Will See A Big Series B Crunch? Why Proprietary Data Pools & AI Talent Will Be The New Limited Natural Resources? Why Now Is The Closest Thing To A New Normal with Tim Chang, Managing Director @ Mayfield Fund
Disclosure
Chang: Mayfield invested in Next Entertainment to export China's live-streaming model
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