Podcast Summary: The Twenty Minute VC (20VC) Episode Featuring Shervin Pishevar
Episode Title:
Shervin Pishevar on The Epic Uber War and What Really Happened in the Firing of Travis Kalanick | Raising $15BN to Win China | Why The Traditional Venture Capital Model is Dead | The Future of Quantum and How We Will Cure All Diseases in 10 Years
Release Date: January 13, 2025
Host: Harry Stebbings
Guest: Shervin Pishevar, Serial Entrepreneur and Investor
1. Introduction and Personal Reflections
[00:00] Shervin Pishevar:
Shervin begins by expressing his belief that Uber could have grown into a trillion-dollar company had Travis Kalanick and Emil Michael remained with the company. He compares Kalanick's firing to significant historical corporate upheavals, including Steve Jobs' departure from Apple.
[05:03] Shervin Pishevar:
Shervin shares a heartfelt tribute to his late mother, highlighting her influence on his technological journey. He recounts her perseverance as an immigrant and her role in igniting his passion for computer programming, drawing parallels to his own career trajectory.
2. The Uber Investment Journey
[08:09] Shervin Pishevar:
Shervin details how he met Travis Kalanick through mutual connections and his strategic maneuvers to secure an investment deal with Uber. His persistence led him to fly to Dublin, where he finalized the investment, resulting in substantial returns as Uber's valuation skyrocketed.
Notable Quote:
"The answer is always no until you ask." – Shervin Pishevar [08:09]
[16:07] Shervin Pishevar:
He reflects on his time as Travis's strategic advisor and board member, praising Kalanick's brilliance and entrepreneurial spirit. Shervin highlights the exceptional intelligence of founders like Travis and Elon Musk, whom he regards as "1000x humans."
Notable Quote:
"These are like thousandx humans." – Shervin Pishevar [00:22]
3. Navigating Challenges and the Uber War
[30:45] Shervin Pishevar:
Shervin recounts the internal conflicts at Uber, particularly the detrimental influence of Benchmark's Bill Gurley. He reveals how Gurley's efforts to pressure Travis into stepping down culminated in a strategic coup during a period of personal tragedy for Kalanick.
[32:10] Shervin Pishevar:
He explains the fallout from the Susan Fowler blog post, detailing how Benchmark orchestrated efforts to undermine Travis by leveraging political operatives and legal maneuvers.
Notable Quote:
"This is the greatest value destruction that's happened since firing Steve Jobs at Apple." – Shervin Pishevar [00:00]
4. The Aftermath and Legal Battles
[35:10] Shervin Pishevar:
Shervin discusses the subsequent legal battles against Benchmark, highlighting his victory in Delaware courts which protected Uber's board seats. He delves into the malicious tactics employed by Fusion GPS to defame him, leading to extensive legal proceedings.
[43:44] Shervin Pishevar:
He vehemently criticizes Benchmark's actions, stating there was no justification for their aggressive stance against Travis and himself, emphasizing the long-term value lost due to their interference.
5. Reflections on Venture Capital and Industry Evolution
[49:07] Shervin Pishevar:
Shervin laments the decline of the traditional venture capital model, attributing it to the influx of private equity and mega funds that have disrupted the meritocratic and collaborative culture of early Silicon Valley.
Notable Quote:
"The venture capital that we grew up with and that we looked up to, that model is gone." – Shervin Pishevar [51:10]
6. Future of Technology and Venture Capital
[56:28] Shervin Pishevar:
Looking ahead, Shervin is optimistic about the merging of quantum computing and AI, predicting breakthroughs that will revolutionize medicine and other industries. He envisions significant advancements that could lead to curing all diseases within a decade.
Notable Quote:
"With quantum computing, we’ll be able to solve problems that would take billions of years to solve in hours and days." – Shervin Pishevar [57:37]
7. Quick Fire Questions
-
Biggest Change of Mind:
Shervin expresses newfound joy and purpose from becoming a grandfather, stating it has unlocked unparalleled levels of love and motivation to improve the world. -
Best Fund Investment:
He cites Chris Sacca's Lowercase fund as his most successful investment, turning a small check into millions. -
Most Overhyped Fund:
Shervin criticizes Benchmark, particularly Bill Gurley, for their detrimental actions during the Uber conflict. -
Biggest Miss:
He regrets not investing in Snapchat and Pinterest during their seed rounds, attributing the losses to missed opportunities and failed communication.
8. Concluding Thoughts and Final Insights
[68:46] Shervin Pishevar:
He acknowledges that his extreme loyalty has been both a strength and a source of personal pain. Shervin emphasizes the importance of authentic relationships with founders and the need for venture capital to evolve towards more inclusive and democratized models.
Notable Quote:
"I’m extremely loyal. That loyalty has served me well, but it's also caused me a lot of pain." – Shervin Pishevar [68:46]
[69:24] Shervin Pishevar:
In his final remarks, Shervin urges future investors and entrepreneurs to maintain resilience and build genuine partnerships with visionary founders to create transformative, trillion-dollar companies.
Key Takeaways
-
Impact of Leadership Decisions:
Shervin underscores how pivotal leadership decisions, particularly the ousting of visionary founders like Travis Kalanick, can drastically alter a company's trajectory and potential. -
Venture Capital Evolution:
The traditional venture capital model is evolving due to the rise of private equity and mega funds, leading to challenges in maintaining meritocratic and collaborative investment cultures. -
Technological Optimism:
Shervin is bullish on the convergence of quantum computing and AI, anticipating revolutionary advancements that could address some of humanity's most pressing issues, including curing all diseases within the next decade. -
Importance of Loyalty and Relationships:
His experiences highlight the dual-edged nature of loyalty in business—fostering strong relationships with founders can lead to substantial success but may also result in personal and professional conflicts. -
Lessons from the Uber Conflict:
The Uber saga serves as a cautionary tale about the destructive potential of misaligned investor-founder relationships and the importance of safeguarding leadership vision against external pressures.
Notable Quotes with Timestamps
-
"I believe if Travis and Emil had stayed at Uber, Uber would be a trillion dollar company by now." – Shervin Pishevar [00:00]
-
"These are like thousandx humans." – Shervin Pishevar [00:22]
-
"The answer is always no until you ask." – Shervin Pishevar [08:09]
-
"This is the greatest value destruction that's happened since firing Steve Jobs at Apple." – Shervin Pishevar [00:00]
-
"The venture capital that we grew up with and that we looked up to, that model is gone." – Shervin Pishevar [51:10]
-
"With quantum computing, we’ll be able to solve problems that would take billions of years to solve in hours and days." – Shervin Pishevar [57:37]
-
"I’m extremely loyal. That loyalty has served me well, but it's also caused me a lot of pain." – Shervin Pishevar [68:46]
Conclusion:
Shervin Pishevar's episode on The Twenty Minute VC provides a deep dive into the complexities of venture capital, the pivotal moments in Uber's history, and the future of technology and investment. His candid reflections offer valuable lessons for investors and entrepreneurs alike, emphasizing the importance of loyalty, strategic decision-making, and adaptability in a rapidly evolving landscape.