Lucas Swisher

They're getting bigger while they're private.

There are more opportunities to invest over time.

So now, where 10 years ago, you couldn't put a billion dollars in a company, now you can invest a billion dollars in any given round.

If I invest a billion dollars and I 10x that billion dollars, that's a 2x on a $5 billion fund.

Now I need to be concentrated to make that happen, right?

And I think, again, that's why we go back to our strategy.

Few investments, big checks.

You have to have that type of discipline to make those fund sizes work.

The spray and pray does not work, but you can absolutely make it work.

And then I think the second dynamic that's different, the outcomes are bigger now than they used to be.

In the SaaS wave, I think it would have been really hard to make that fund size work.

Because SaaS, you're constrained.

The largest SaaS company in the world that's independent outside of Microsoft and the hyperscalers, Salesforce.

Salesforce Workday ServiceNow.

Those are like a couple hundred billion dollars of market cap.

So it's going to be hard in that world.

But in an AI world, if we actually think that we're augmenting labor, if we think that we can address a lot of these really big markets, if you move from human inputs to tokens, then you're going to have much bigger outcomes and the math works.

Listen, vertical SaaS, I think you could talk about it a lot of different ways.

Constraint, TAM, AI risk, all kinds of stuff.

They're still great businesses today.