Opinion
Downey: RealKey's AI pitch is 'snake oil' hiding a logic engine
“I'm saying that if, I agree with you, like, if they really had that, that would be something, but my intuitive sense when you said that, because I've just been steeled against this from so many pitches, is that you don't have true AI, it's not built, it's just…”
Insight
Downey: Consumers claim they prefer American-made goods but ultimately buy on price
“A lot of people say, buy American, you know, build in America, but then when it comes time to buy a product, like, They're gonna buy based on price, and like, you have to figure out, you have to figure out what you're willing to do around that.”
Opinion
Downey: AI and ML are today's buzzwords, much like blockchain
“I think that Those are the buzzwords today that, like, blockchain was a year ago, and that big data was a year ago.”
Insight
Downey: Good salespeople sell things customers don't need or that don't exist
“Part of what makes someone a good salesperson is they can sell you things that you don't need or that don't exist.”
Disclosure
Sarah Downey: DraftKings Investor Sees Passionate DFS Players Fail to Scale
“I've seen a number of pitches that are similar to this, I think because we're in Giraffe Kings and they all have this same kind of chemistry of a founder who just like, who's a player and they're a passionate player, but they're not a business person and they …”
Opinion
Downey: DraftKings or FanDuel could copy Thrive Fantasy in under a month
“My biggest takeaway was this feels like a feature that DraftKings or FanDuel can turn on in a month or less.”
Opinion
Downey: The market for VR training is already saturated
“The market for VR training is quite saturated right now.”
Assertion Supported
Downey: VCs are still writing checks despite pandemic slowdown
“Yeah, and I think, like, people are writing checks right now. It's definitely slowed down, to be clear, but we as investors are in the business of funding companies we think are going to be great.”
Opinion
Downey: Engaged community is more exciting to investors than a pilot
“If I were looking at this as an investment, I would be way more excited about a big community of engaged people than a pilot.”
Insight
Downey: Partnering with one manufacturer can block deals with competing manufacturers
“If you are bringing in a strategic investor, There are pros and cons sometimes. So you might be, let's say you partner with one manufacturer, you might be blocking partnerships with others who compete with that manufacturer.”
Opinion
Sarah Downey says Virtual Gurus fits an angel profile over venture scale
“It's like, it's not a venture scale profile, but it's a great angel.”
Insight
Downey: Noise-free social startups still rely on incumbent noise for acquisition
“Like, it seems like there is no user acquisition without existing platforms. So like, you're trying to cut through the noise, but you need the noise.”
Insight
Downey: Investors prioritize founder recovery and grittiness over initial answers
“It's like one of the things that we look for as investors is a grittiness and a willingness to learn because you will not have all the answers. Therefore, what happens when you get it wrong? Can you quickly get back on your feet? That's what we care about more…”
Insight
Downey: Inflated early valuations create dangerous benchmarks for subsequent rounds
“Well, it means it can be bad in a couple ways because if you come out of the gate saying this thing is worth thirty million dollars, Then you have to create value to increase that over the next. 12 to 18 months when you go out and fundraise again.”
Opinion
Downey: Bluefoot asked for Series A pricing despite pre-seed maturity
“And so like, this is a pre-seed level company in terms of number of people and Product development, and yet they're asking for seed or more valuations. Like, there's Series A companies that have those valuations. It's just not an alignment at all.”
Disclosure
Downey: Accomplice is the largest investor in DraftKings
“Well, we're the largest investors in DraftKings accomplices, my partner, Ryan Moore.”
Insight
Downey: Enjoying a Pastime Does Not Mean Solving a Real Problem
“I think there's a big difference between Being somebody who enjoys a pastime and being somebody who has a mission-driven sense of solving a problem. There wasn't a problem to be solved. There was a slight tweak and improvement to be gained.”
Disclosure
Downey passes on RealKey due to the founder's communication style
“So, for me, it, it's not gonna be a fit, and the reason is, it's the communication style that we've been talking about here. I think as a CEO and a leader, you need to push yourself to be more big picture. Like, everyone here has been struggling with the messa…”
Disclosure
Downey Commits $25,000 Investment to Spot On
“I also am in for 25 K.”
Disclosure
Sarah Downey commits $25,000 to Virtual Gurus as an angel investor
“I'm in for 25 K as an angel.”
Disclosure
Sarah Downey offers a $25,000 angel investment in Feedback
“I would like to put 25 K in, personally, as an angel, and then continue to stay in touch, and when you do these classic seed, I think accomplice could be a good partner for you.”
Disclosure
Downey passes on Thrive Fantasy due to DraftKings conflict
“I'll make that comparison now and just say that this is a pass for me, given my relationship with DraftKings.”
