TLDR:
Key points:
- Venture capital industry facing an exit problem due to aging and unsold private tech companies
- Rocket-ship story of cyber security company Wiz highlights the challenges in the industry
A big overhang of aging and unsold private tech companies has created an exit problem in the venture capital industry. The story of cyber security company Wiz, founded by four young engineers who sold their first start-up to Microsoft, showcases the challenges faced in the industry. Despite raising $1.9bn from top venture investors, Wiz’s success also raises questions about the future of the venture capital model.
The industry needs to find innovative solutions to address the exit problem and ensure that investors can see returns on their investments in private tech companies.
