Close Menu
TechBrunchTechBrunch
  • Home
  • AI
  • Apps
  • Crypto
  • Security
  • Startups
  • TechCrunch
  • Venture

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

What's Hot

How to prepare for a second semester salary increase now live in 2025

September 12, 2025

Melkor has its moments in the AI ​​data race

September 12, 2025

We are entering a golden age of robotics startups.

September 12, 2025
Facebook X (Twitter) Instagram
TechBrunchTechBrunch
  • Home
  • AI

    OpenAI seeks to extend human lifespans with the help of longevity startups

    January 17, 2025

    Farewell to the $200 million woolly mammoth and TikTok

    January 17, 2025

    Nord Security founder launches Nexos.ai to help enterprises move AI projects from pilot to production

    January 17, 2025

    Data proves it remains difficult for startups to raise capital, even though VCs invested $75 billion in the fourth quarter

    January 16, 2025

    Apple suspends AI notification summaries for news after generating false alerts

    January 16, 2025
  • Apps

    Google brings Pixel 6 and new devices to Material3 Expressive, along with other features, to the Pixel 6 and new devices

    September 3, 2025

    Google's NoteBookLM now allows you to customize the tone of your AI podcasts

    September 3, 2025

    Roblox expands the use of age estimation techniques and introduces standardized assessments

    September 3, 2025

    Instagram finally launches the iPad app

    September 3, 2025

    Complete the 2025 Confusion Builder Stage Agenda with the Maximum Scaling Voice

    September 3, 2025
  • Crypto

    Stripe will showcase who WHO including Humanity, Openai and Paradigm to build a new blockchain

    September 4, 2025

    Coinbase CEO explains why he fired an engineer who didn't try AI right away

    August 22, 2025

    Your next customer is destroying the 2025 Expo floor

    August 19, 2025

    Crypto Company Gemini File for Winklevoss Twins IPO

    August 16, 2025

    North Korean spies pretending to be remote workers have invaded hundreds of businesses, CloudStrike says

    August 4, 2025
  • Security

    Apple's latest iPhone security features have made life even more difficult for spyware makers

    September 11, 2025

    France says Apple has notified victims of a new spyware attack

    September 11, 2025

    British children dare and hack their school for infamousness

    September 11, 2025

    Vibe coding? Meet the security atmospheric

    September 10, 2025

    Jaguar Land Rover says data was stolen in a destructive cyber attack

    September 10, 2025
  • Startups

    7 days left: Founders and VCs save over $300 on all stage passes

    March 24, 2025

    AI chip startup Furiosaai reportedly rejecting $800 million acquisition offer from Meta

    March 24, 2025

    20 Hottest Open Source Startups of 2024

    March 22, 2025

    Andrill may build a weapons factory in the UK

    March 21, 2025

    Startup Weekly: Wiz bets paid off at M&A Rich Week

    March 21, 2025
  • TechCrunch

    OpenSea takes a long-term view with a focus on UX despite NFT sales remaining low

    February 8, 2024

    AI will save software companies' growth dreams

    February 8, 2024

    B2B and B2C are not about who buys, but how you sell

    February 5, 2024

    It's time for venture capital to break away from fast fashion

    February 3, 2024

    a16z's Chris Dixon believes it's time to focus on blockchain use cases rather than speculation

    February 2, 2024
  • Venture

    How to prepare for a second semester salary increase now live in 2025

    September 12, 2025

    Melkor has its moments in the AI ​​data race

    September 12, 2025

    We are entering a golden age of robotics startups.

    September 12, 2025

    Founders of 01A share their playbook in 2025

    September 11, 2025

    Perplexity reportedly raised $200 million at a $200 billion valuation

    September 11, 2025
TechBrunchTechBrunch

Notable Capital's Hans Tung on why he believes founders need to play the long game

TechBrunchBy TechBrunchApril 30, 20246 Mins Read
Facebook Twitter Pinterest Telegram LinkedIn Tumblr WhatsApp Email
Share
Facebook Twitter LinkedIn Pinterest Telegram Email


Hans Tung, managing partner at Notable Capital (formerly GGV Capital), has many thoughts on the state of venture today.

Notable Capital is a venture firm with $4.2 billion in assets under management, focused on investments in the United States, Latin America, Israel, and Europe.

Tung, whose portfolio includes Airbnb, StockX, and Slack, recently appeared on TechCrunch's stocks podcast to talk about valuations, why founders need to play the long game, and why some VC firms are struggling. We talked about why we were there.

He also talked about why he remains bullish on fintech and which areas of the fintech space he's particularly excited about.

He also discussed recent changes in his own company, which evolved from the 24-year-old cross-border company GGV Capital and rebranded its US and Asian operations to Notable Capital and Granite Asia, respectively. GGV's transformation is the latest in a series of changes we've seen in the venture capital world, including personnel changes at Founders Fund, Benchmark and Thrive Capital.

Below are excerpts from the interview, edited for clarity and brevity.

TechCrunch: Last year we talked about down rounds. At the time, you thought they weren't necessarily a bad thing. Do you still have the same mindset?

Hans Tung: I've been in this industry for almost 20 years. We approach things with a long-term perspective. And I've always known that markup doesn't matter.this is like being poor [report] Getting a card or getting a test score doesn't mean much until you actually get the exit. An IPO is actually just a milestone, not the end goal. The IPO is the beginning for public investors to participate. Therefore, over the long term, a temporary rise or fall in valuation is less important than the ultimate outcome.

I think whatever it takes to scale a business is something that companies, founders, and boards need to focus on to manage the business to the best of their ability every step of the way.

I think what founders don't realize is that this choice is not an either-or choice between shutting down and doing a down round. Because in such a situation you will choose the down round every time. The challenge comes when faced with the prospect of maintaining valuation or raising a down round. Otherwise you risk shutting down later.But I'm telling you, if you're close to going out of business, no one will invest in you.

TC: Overall, how different has this year been so far compared to last year in terms of the investment environment?

HT: I think it's a continuation of what we saw in the second half of 2023. Clearly, AI is an outlier. AI is currently highly overrated. You could argue that AI is only in the first inning, or even the first half of the first inning, so people are willing to overpay… There were a lot of crazy rounds at the beginning of the boom. There will be a fork in the road, and some companies will ultimately succeed, but most may not.

In most cases, I still caution founders not to compare themselves to sectors that are doing well and to focus their efforts on managing their business.

TC: How is the pace of investment compared to recent years? How are VC firms affected by the economic slowdown?

HT: I think we're getting closer to 2022 levels. That is, more than in 2023. But 2021 was an outlier. And it's not good for business either. And it's not good for the ecosystem either. I won't name names, but companies are certainly affected by what they were doing in 2021, which has now slowed down even more. This is unfortunate. Because many of them are great investors and belong to great companies, and it's a shame that they can't compete because of indigestion.

For example, some companies raised significant funding in 2021. And that business is growing revenue by about 40% to 50% year-over-year and could be able to IPO him soon, probably in the next year or so from a maturity standpoint, but at a low valuation. The money raised in the last round is so high that it doesn't reach that valuation level in the current public market, where multiples are quite compressed. So they have to wait. As a result, funds that invested in 2021 will not be able to earn cashback as there will be a lack of liquidity and LPs will also not be able to get their money back. Therefore, funds are not returned to LPs that continue to invest in new funds. As a result, the entire system is negatively affected.

TC: We were surprised to recently report that funding in the fintech space fell to its lowest level in seven years in the first quarter of this year. What do you think about that?

HT: Regarding fintech, I think it's more difficult for people to make decisions about fintech given the high inflation environment that we've had and the high interest rates that are definitely coming down, but not anytime soon. But if you look at another metric, financial services, as a category, the market capitalization of all publicly traded companies in the banking, insurance, and financial services space exceeds $10 trillion. And of that $10 trillion, less than 5% belongs to fintech companies. So if everyone knows that the best fintech companies are growing faster than financial services companies, it's only a matter of time before low single-digit penetration and market capitalization increase over time. is. So there will be ups and downs. As with e-commerce, there may not be many winners in fintech, but those that do can have a huge market.

Want more fintech news in your inbox? Sign up for TechCrunch Fintech here.

Want to provide a tip? Email maryann@techcrunch.com or text Signal 408.204.3036. You can also send a note to all TechCrunch staff to tips@techcrunch.com. For more secure communications, click here to contact us. This includes links to SecureDrop (instructions here) and encrypted messaging apps.



Source link

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

7 days left: Founders and VCs save over $300 on all stage passes

March 24, 2025

AI chip startup Furiosaai reportedly rejecting $800 million acquisition offer from Meta

March 24, 2025

20 Hottest Open Source Startups of 2024

March 22, 2025

Andrill may build a weapons factory in the UK

March 21, 2025

Startup Weekly: Wiz bets paid off at M&A Rich Week

March 21, 2025

Wayve CEO shares his key elements for scaling autonomous driving technology

March 21, 2025

Leave A Reply Cancel Reply

Top Reviews
Editors Picks

7 days left: Founders and VCs save over $300 on all stage passes

March 24, 2025

AI chip startup Furiosaai reportedly rejecting $800 million acquisition offer from Meta

March 24, 2025

20 Hottest Open Source Startups of 2024

March 22, 2025

Andrill may build a weapons factory in the UK

March 21, 2025
About Us
About Us

Welcome to Tech Brunch, your go-to destination for cutting-edge insights, news, and analysis in the fields of Artificial Intelligence (AI), Cryptocurrency, Technology, and Startups. At Tech Brunch, we are passionate about exploring the latest trends, innovations, and developments shaping the future of these dynamic industries.

Our Picks

How to prepare for a second semester salary increase now live in 2025

September 12, 2025

Melkor has its moments in the AI ​​data race

September 12, 2025

We are entering a golden age of robotics startups.

September 12, 2025

Subscribe to Updates

Subscribe to our newsletter and never miss our latest news

Subscribe my Newsletter for New Posts & tips Let's stay updated!

© 2025 TechBrunch. Designed by TechBrunch.
  • Home
  • About Tech Brunch
  • Advertise with Tech Brunch
  • Contact us
  • DMCA Notice
  • Privacy Policy
  • Terms of Use

Type above and press Enter to search. Press Esc to cancel.