[lbriner]

A lot of misunderstanding here about "why would you invest in someone who has failed?"

An investor is a gambler. Not just on past success, although I'm sure Marissa has had some successes even if people don't know them.

They gamble on: 1) Has this person got the experience (good or bad) to run a business. A failed business leader is a better gamble than someone with no experience. 2) Does this person have a strong network so they can realistically pull in some really good people? 3) Has this person raised capital before? 4) Do they have a convincing narrative about why they have failed and what they might do differently? 5) Is the potential ROI high? 6) Do I have anything else I could invest in instead with better odds?

If I think as an Investor and not as an Engineer, I am not surprised that she has succeeded and I wish her all the best.

[Ekaros]

Could there also be 7) Can I sell or offer something to this new company and prop up my other parts of my portfolio?

[nivertech]

aka "loss leader" or "supporting the ecosystem"

e.g. VCs invest in startups commercializing open-source foundational/infrastructure projects not only for the financial RoI, but also because it helps their portfolio companies succeed faster while maintaining a smaller headcount or spending less on non-core R&D.