Loud Pipes
w.225 | Gambling, VC Mistakes, Types of Founders, Good Movies, SXSW
Dear Friends,
SXSW kicked off this week, with the edu portion starting on Monday. There’s another whole week of festivities. This is my first time being in Austin for the conference.
I’m pacing myself, so I was able to read, reflect for a bit, and write the newsletter amid all the activity.
Happy Daylight Savings to all who celebrate!
Today's Contents:
Good Reads: Sensible Investing
Good Movies
Song of the Week: Loud Pipes
Good Reads: Sensible Investing
Right now, "mistakes were made" is a hot topic of discussion in the startup ecosystem. A Twitter post by Frank Rotman at QED Investors. Summary:
Paying crazy prices was just playing the game on the field.
The deals were moving so quickly that conducting proper diligence was impossible.
It was very difficult to win a deal without offering an uncomfortably large amount of capital and being OK with the “use of proceeds” going to unproven initiatives.
The distortion caused by low interest rates and pandemic trends made many startups look better than they actually were.
"A Lack of Pretense That Any of These Things Do Anything or Will Ever Do Anything." It’s a thesis on what could be the defining feature of the next 12-24 months in crypto.
I liked this point: “If you’re looking for further proof of my point about financial nihilism, look no further than gambling trends. They are staggering.”
There are two types of founders, from Sari Azout. I’ve focused most of my career on Founder Type #1 and that approach to problem-solving generally. Recently, I’ve been working closely with a best-in-class Founder Type #2. Wow, is it exciting!
Type 1: Those who do lots of research, validate ideas, test many prototypes, and iteratively get to a product
Type 2: Those where the product vision emerges fully-formed in the founder’s eye before it is brought to existence.
The former is about problem solving, the latter is about manifesting a creative vision.
Problem solving is about taking an action to make something go away. Creating is about taking an action to bring something to life.
Both can achieve success, but some of the most interesting consumer products of our era weren’t solving clearly defined problems, they were bringing creative visions to the world.
Good Movies
The Oscars 2024. The award show is tonight. I’m not watching the awards, but I did read a ranking and review of the films up for Best Picture from Max at The Weekend Reader. Sadly, I’ve only seen one on the list and didn’t love it. I’ve added at least five to my watch list!
Dune 2. I saw it. It was amazing—totally stunning visually and musically. However, read the book for the missing details and plot changes. The new Feyd-Rautha and his debut scene is a masterpiece.
God Save Texas on HBO is also well-reviewed and on my list!
From an outsider’s perspective, it can be easy to get caught up in what we think Texas is: God-fearing, gun-loving, and, above all else, white. So easy, in fact, that it isn’t hard to find “liberals” celebrating the state’s struggles as if they are some sort of sick penance for its conservative legislature. What God Save Texas does, then, is reveal the true Texans, a diverse population that faces the horrific results of that legislature head-on. In bringing directors back to their hometowns, we get an intimate portrait of the people who live there and the hard work they continue to put toward the fight to make Texas the great place they’ve always been told it’s supposed to be.
Song of the Week: Loud Pipes
I love this song. It’s so perfect. It can focus the mind, project forward momentum, or prompt introspection. Take a listen.
“Loud Pipes” by Ratatat.
InstrumentalSelfie of the Week
At SXSW this week, I reunited with a bunch of my Kauffman Fellows friends. This selfie is two of my classmates—Evan (ICON & Overmatch) and Brian (Kapor Capital)—and me in front of a CyberTruck. It’s been great to see people and hang out in person. LMK if you are in town.
Thanks for reading, friends. Please always be in touch.
As always,
Katelyn