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The Spectacle of "Building"

a year ago
  • #Innovation
  • #Venture Capital
  • #Economic Systems
  • The article critiques the current state of venture capital (VC) in China, highlighting a shift towards 'hard tech' and government-driven investments, which deviates from traditional VC principles.
  • It discusses the alienation of technology, where 'hard tech' is equated with heavy machinery, and the overemphasis on fixed investments, often inflated to meet state demands.
  • The piece points out the role of state-owned capital and general partners (GPs) in the VC market, where investors have become mere intermediaries, diluting the integrity of investments.
  • It contrasts top-down (state-driven) and bottom-up (market-driven) systems of innovation, noting how both can create collective delusions but differ in how they handle the collapse of these delusions.
  • The article warns against the spectacle of innovation, where the appearance of progress is prioritized over genuine breakthroughs, leading to a loss of the conditions necessary for real innovation.
  • It emphasizes the importance of cognitive friction and the unpredictable nature of breakthroughs, advocating for systems that allow for failure and genuine discovery.