Build a structurally different business model that incumbents can't copy without destroying their own economics.
Excess returns only come from being both contrarian and correct — and you don't want to stay contrarian for long.
In a fast-changing world, a company's ability to adapt matters as much as valuation for determining true investment safety.
Give every general partner truly equal economics and voice, and let peer accountability replace hierarchy as the engine of performance.
The myth-busts, hot takes, explainers, and tools worth keeping.
Corrects the myth that Benchmark was an instant success, revealing missed deals like Amazon and Yahoo, a founding-partner departure, and a genuinely bleak outlook heading into 1997.
Explores the internal debate about whether Bill Gurley was too analytical to fit Benchmark's culture, and how his data-driven style ultimately redefined the firm.
“we all know that this is more a balls than brain's business”
Covers Benchmark's costly detour into international expansion, corporate joint ventures, and a billion-dollar fund, which coincided with missing Google, Skype, and Facebook.
“there are three examples all of which are sins of omission which are the biggest sins in Venture Capital none of the sins of commission…”
Sets the stage by explaining John Doerr's total dominance of Silicon Valley VC before Benchmark existed, and the Kleiner Perkins 'karetsu' model of forced business-development partnerships among portfolio companies.
“if you were an ambitious young venture capitalist in the 1990s in Silicon Valley and that was a big if you could do very well…”
Tells the story of Technology Venture Investors (TVI), the little-known firm that was the sole venture investor in Microsoft, owning 5% for $1M and holding until IPO.
“they were the only Venture Capital investor in Microsoft yep one million dollars to own five percent of the company”
Chronicles Bob Kegel's working-class background and his growing conviction that unequal firm economics were morally wrong, setting up TVI's breakup.
Describes how five founders named the firm Benchmark and priced fund one at 30% carry versus the industry-standard 20%, signaling premium positioning from day one.
“it was you haven't heard of us but we're already important”
Describes the fierce LP backlash to Benchmark's premium carry, including Stanford's endowment organizing other university endowments against the fund.
“literally Stanford blackballs Benchmark insane totally insane”
Covers hiring star executive recruiter David Byrne to reinject swagger into the firm, and the resulting high-risk, high-reward Webvan investment shared with Sequoia.
“Dunleavy reached into a stack of papers and pulled out a business plan called Oasis he tossed it to burn explaining that he and the…”
Details how Benchmark's whole partnership worked together to win, structure, and support the eBay investment, turning $6.7M into roughly $4B.
“on an 85 million dollar fund a 6.7 million dollar investment turned into four billion dollars in a little over 18 months less than two…”
Introduces Peter Fenton, Mitch Lasky, and Matt Kohler joining Bill Gurley to refocus Benchmark on early-stage investing, producing an extraordinary run of wins.
Traces the Benchmark-Uber relationship from Bill Gurley's early conviction and the famous Series A chase down Sand Hill Road, to the eventual lawsuit that helped end the Fab Four era.
“they're the best I went with them because they're the best I didn't want to work with anybody else”
Summarizes the present-day Benchmark partnership (Peter Fenton, Eric Vishria, Sarah Tavel, Chetan Puttagunta, Miles Grimshaw) and the informal pattern of how new partners get recruited.
“if you want to be a GP at Benchmark just uh be on boards with them that seems to be the takeaway”