The end of the VC software era will lead to reallocation of capital towards more real-world, physical applications, accelerating the shift back to atoms in Silicon Valley.
Optimistic
Original Quote
This will (hopefully) lead to the reallocation of capital towards more real-world, physical applications. There's already been a shift back to atoms in Silicon Valley and the Software Industrial Revolution will accelerate this trend.
Outlook
OptimisticRedirecting capital toward physical industries could broaden economic growth beyond software monopolies.
Timeframe
within 1-5 yearsImplied
Described as an acceleration of an already-occurring trend, implying observable change within 1-5 years.
Confidence
moderate
'Hopefully' introduces a normative and uncertain tone, and the parenthetical softens the prediction to moderate confidence.
Potential Data Sources for Validation
PitchBook/NVCA data on VC investment by sector should show increasing share going to hardware, biotech, manufacturing, and energy relative to pure software over 1-5 years.
About the Author
Andy Coenen
Author Perspective
Across 12 tracked claims, Andy Coenen skews optimistic.
92% optimistic8% neutral0% pessimistic