The Twenty Minute VC (20VC): Venture Capital | Startup Funding | The Pitch - 20VC: Slow Ventures' Sam Lessin on How VC Forces Certain Companies To Exist and Makes It Difficult To Finance Others, Why Cities Won't Let Scooter Companies Be Profitable and Why Dapps Are A Concern and Where Emphasis Should Be Placed In Crypto
Harry Stebbings, host of the 20 Minute VC podcast, welcomes back Sam Lessin, founding partner at Slow Ventures, for a second round of insights on the current state of technology, venture capital, and the future of work. The discussion spans from the evolving relationship between humans and machines to the complexities of the crypto landscape and the ethical dilemmas posed by advancements in artificial intelligence.
Lessin begins by reflecting on the shift in his investing mindset from angel investing to institutional venture capital. He emphasizes the vast difference in scale, where a successful $5 million exit is significant for an individual but potentially irrelevant for a $200 million fund. This necessitates a focus on larger market opportunities and companies with the potential for 10x to 100x growth.
The conversation pivots to the evolving relationship between humans and AI. Lessin contends that the initial vision of AI replacing human labor has proven misguided. Instead, he advocates for a symbiotic relationship where AI augments human capabilities, enabling humans to focus on the most creative and uniquely human aspects of work. He draws parallels to the Industrial Revolution, emphasizing that technological advancements require a reorganization of work processes to unlock true productivity gains.
Lessin introduces the concept of the "human knowledge work cloud," envisioning a future where knowledge work is structured and optimized similar to factory work. This involves centralizing and managing human work with advanced tools to enhance efficiency and quality. Measurement, he asserts, is key to understanding and optimizing hybrid systems. To that end, they are starting to open up a measurement technology framework at Finn.
Stebbings raises the issue of declining productivity in men, drawing on writings from Lessin's partner, Quartina. Lessin acknowledges the need for increased productivity to compete in a globalized world, emphasizing that technology and productivity are essential for job creation. He also addresses the reality of lower engagement during supposed working hours, due to micro-breaks and distractions, and suggests for the time spent working to be spent in hyper productivity in order to maximize free time.
Transitioning to crypto, Lessin highlights its potential to "complete" the internet by providing secure, decentralized memory and identity. He sees crypto as a counterpoint to centralized systems, offering greater freedom and privacy. He also highlights that its important for crypto to be a baseline in which freedom can be traded over security. He acknowledges the potential for centralized ecosystems to emerge within the crypto space, similar to the internet, but stresses the importance of maintaining a decentralized base layer. While they do invest in crypto, they generally do not invest in DApps.
The conversation then shifts to ethical considerations in the light of growing, algorithmically generated fake video. He discusses the balance between security and freedom, drawing a comparison to China's centralized approach to data management. He highlights the lack of structures in the west for discussion and choice as society needs. While concerned about security in general, Lessin expresses optimism about the future. He argues for a re-evaluation of fundamental principles and the need for more philosophers to address the complex ethical dilemmas posed by emerging technologies.
The interview wraps up with a quick-fire round, touching on Lessin's favorite book, The Lessons of History, his strategies for managing attention, and the benefits of being both an investor and an operator. He believes that the roles compliment each other. Lessin concludes by expressing his hope for a resurgence of consumer apps and highlighting his recent investment in Sveture.ai, an AI-powered recruiting solution.