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I think it is scale. The success of YC is built on the success of their startups. Therefore, I don't see YC as a not a long term (I'm talking 20+ years) sustainable and scalable business model. Is their process reproducible? Yes. Are there deliverables reproducible? No.

If YC wants to continue to grow (financially), it could possibly:

1. Diversify - Perhaps start a pure VC wing

2. Segregate - Provide specific expertise in verticals (travel, hospitality, sports, etc), horizontals (like consumer web, mobile, etc), or regions (emerging markets, global markets, etc)

That being said, I can't help but think that YC employees probably struggle to understand it's ultimate financial growth strategy while at the same time realizing that in it's current state it's already an extremely valuable business and provides those involved with loads of continuous personal satisfaction both financially and psychologically. So while it may sound like I'm discrediting the organization, I'm dually jealous of the "good problems" they have.



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