PATIENT CAPITAL WILL EAT THE WORLD

Summary from the TLDR Founders newsletter

Venture capital has grown into massive funds like Andreessen Horowitz and Sequoia, but the traditional VC model struggles with today's software and AI markets. Growth-stage software no longer requires or generates capital in the way early SaaS or consumer internet companies did, and AI companies increasingly need infrastructure financing, not conventional venture funding. Institutional VC is constrained by LP mandates, fund timelines, and deployment expectations, forcing investment even when better opportunities would be to wait. As a result, funds invent narratives to justify current positions while real liquidity remains scarce due to limited IPOs and conservative M&A markets.