There’s no question that venture capital is in a very FUNKY state right now. On one hand, top funds are still competing for AI deals at a ferocity reminiscent of the 2021 peak, but on the other hand, there are 1400+ minted unicorns waiting in the wings for some sort of liquidity event. These very conflicting forces are causing quite a bit of consternation amongst the investment community. The post covers the following: • I start by taking a public equities lens and explore the current depressed multiples in the world of public SaaS companies • Next, I analyze why we’re seeing a lack of IPOs for growth stage companies, and why $100M+ in ARR (annual recurring revenue) isn’t enough for an IPO • I then explore why, despite the lack of exit liquidity, VCs are still aggressively deploying capital into AI startups, which could spur a repeat of the 2021 funding madness • What the lack of liquidity means for VCs, especially emerging managers as they raise their next funds Check it out here: https://eastwind.substack.com/p/zombiecalypse-in-startupland?r=5j48v