[gibsonf1]

I think the bottom line is that the competition is envious - I don't know who could provide the kind of network that YC provides. There is also probably the fear that YC represents the new way to fund startups "sucking" all the talent from the old way. Fear and Envy are a powerful combination and a great motivator for lashing out with the hope that the lashing will create some dent in YC. But the effort on the part of the competition will come to no avail - in fact you could argue it is a sign of how successful YC is becoming.

[pg]

Actually I think the reason people attack us is cleverer than that. We've gotten a lot of press lately. Anyone who can establish himself as the canonical YC critic can thereby use the both-sides-of-the-story reflex of reporters to get mentioned in any story that mentions us.

Ustream is doing this to Justin.TV right now. They have nothing; just off-the-shelf hardware hooked up to a streaming service. If they'd launched by themselves, no one would have cared. They've achieved what prominence they have entirely by getting themselves mentioned in articles about Justin.TV. They matter more as the antiJustin than in their own right.

[gibsonf1]

Thanks for pointing that out. I guess the competing VC did use his moment to advertise his counter offer while bashing YC at the same time. Media savvy is probably not a bad thing to master, especially if you actually have a product with really good value. Your MS article is definitely an example of amazing media savvy.