[GianFabien]

VCs have to swing for the fences and hit out of the ball park. Typically half of their investments tank. So the occasional big hits have to pay for all the failures too. Otherwise their investors will just take the safe option with mutual funds, bonds, treasuries, etc.

[rchaud]

Over the past decade, a lot of these haven't been "hits" at all, except for an IPO bump. WeWork, Uber, Doordash....these have taken in investments on par with some nations' GDP, and are massively unprofitable.

VCs may need to swing for the fences but they're engendering market failure by concentrating so much capital and media hype into these boring sectors.

[shapefrog]

They could always try to get better at picking winners

[JohnFen]

Despite many generations of trying, nobody has figured out how to reliably pick the winners. I suspect that doing so is legitimately impossible.