Part 5/8:
As venture capital expands beyond its California roots, the competitive landscape has dramatically shifted. The rise in the number of VC firms—quadrupling in the last decade—creates a saturated market with many investors vying for opportunities. The influx of major players like SoftBank has distorted valuations, complicating the landscape for traditional VCs like Sequoia. This increased competition often leads to inflated investment, driving potential bubbles that could burst, as seen with FTX.