Einar Volsett

So then most or all that capital effectively flows to a smaller and smaller set of companies.

And these companies are the ones that from the outset go out and claim they want to take over the world.

They want to become multi-billion IPO type companies.

And so because there's then more and more capital chasing those kinds of companies, the valuation for those companies goes up.

And then when the valuation goes up,

the outcome that they have to have in order for it to make sense becomes much bigger, which again means that the group of companies that fit the profile becomes smaller.

And it's sort of this vicious cycle of like more and more capital being concentrated in a smaller, smaller set of companies.

And effectively what we're arguing is like,

That doesn't make any sense.

Given the nature of the environment, there are a much larger number of investable companies out there than just the ones that set out to be unicorns or decacorns from day one.

A good example of this is Sam Altman.

I know Sam.

He's a good guy.

I've actually jumped out of a plane with Sam Altman.

He wrote a piece, I think in January, saying how to invest in a startup.

He said you should never invest in any company that couldn't potentially be a $10 billion company.

And I'm like, that doesn't make any sense.

There's a lot of companies and a lot of value creation out there, but you have to find the balance correctly such that founders do well, but also investors do well enough that they'll want to keep investing in those kinds of companies.

And that's effectively the balance that we're trying to do with Tennessee.

Yeah, we're pitching 20, 30%, something like that.