Big Tech has broken into the private market, leaving venture capital (VC) firms stuck outside.

What does this mean?

Microsoft, Amazon, Alphabet, and Nvidia have enough cash to fill more than a few super-powered data centers – and they’re using it to play VC. In writing checks for private AI startups like OpenAI, Anthropic, Scale AI, and CoreWeave, Big Tech is lining the little guys’ coffers so well that they have no reason to even think about a stock market listing. That’s a problem for the real VCs out there. See, they make “exit money” by cashing out when the startups they’ve invested in go public. Without those listings, VC firms are left holding company stakes instead of cold, hard cash. READ MORE