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Chamath's 'Capital as a Service': Open Your Blouse and Feed the Machine
Shaan explains Chamath's Social Capital pitch — a self-serve algorithm that benchmarked your SaaS metrics and decided whether to invest. The catch: founders piped in all their data, feeding Chamath's system whether he invested or not. Shaan judges it 'more marketing than substance.'
“He goes, let's make capital as a service instead of software as a service, capital as a service. So here's how it goes. It's self-serve. You come and you plug in your analytics. Our little algorithm will run a formula and it'll basically tell you two things. It'll say, here's how you rank relative to other SaaS companies that are your size, your age, in your kind of like price point or your demographic. And then, so you'll know if you're above the benchmark, if your retention is way better or way worse than other companies. And then secondly, they were like, this is our moneyball formula to basically figure out if we should invest in you or not.”
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