Tools for progress #63
China’s industrial policy for AI, A breakdown of Figma’s IPO, Do credentials still matter?
We (humans) read hundreds of articles on company building, angel investing, and self-management and curate the best ones into a weekly summary—helping founders and operators stay on the top of their game.
Better thinking
China’s industrial policy for AI (22 minute read)
Long one, but a worthwhile read if you feel behind on all things AI and China. China's deploying massive industrial policy to become the global AI leader by 2030, with state support spanning everything from chips to applications. While Beijing's efforts will likely accelerate progress and keep China competitive with the US, export controls on semiconductors create real bottlenecks that even billions in subsidies can't easily overcome.
Whatever you wish (3 minute read)
This is such a fascinating read. Written in 1977 by Isaac Asimov, you wouldn’t be shocked if someone told you it was crafted today (as we look at the happenings across AI and robotics). It depicts a vision of future work where automation handles all mundane tasks, leaving only a handful of humans needed for essential professions. He suggests that most people would become a new kind of aristocracy, free to pursue whatever interests them most.
The best companies are dictatorships (3 minute read)
Most successful companies operate as “benevolent dictatorships”, rather than collaborative democracies. The author, an investor at FPV ventures and former product lead at companies like Opendoor and Atlassian, contends that founders who make unilateral decisions and obsess over details (even if unreasonable) actually build superior products. Democracy in product dev leads to compromise and mediocrity.
Operational tactics
Agentic coding, lessons from what didn’t work (9 minute read)
A developer's honest take on what didn't work after months of trying Claude Code's advanced features like slash commands, hooks, and print mode. Most elaborate automations ended up unused and deleted because they never became muscle memory or provided meaningful improvements over simple conversations. The real workflow remains surprisingly basic - just talk to the AI more, give better context, and avoid the dangerous trap of mental disengagement that automation encourages.
On building good taste, by Ira Glass (5 minute watch)
In a world of abundant AI possibilities, people need a discerning eye for quality. Here’s a short clip of of Ira Glass, an American public radio personality, delivering his take on what it requires to build good taste. His main takeaway is to continue producing and push through periods when your output doesn’t meet the expectations of your inner critic. There’s a tastemaker in all of but how many of us can keep going? That’s the real question.
Lessons from Ramp, one of the fastest growing startups in history (10 minute read)
Ramp has saved $2 billion, onboarded 40,000 customers, and achieved a $22.5 billion valuation. In a mere 6 years. If you’re interested in learning more about crafting a product that 99.93% of people who try it, stay customers, and how to create a team that ships 10x faster by understanding your trade-offs, then there’s plenty to learn from this detailed guide on Ramp.
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Venture investing
A breakdown of Figma’s IPO (5 minute read)
So much to learn from Figma’s IPO on Friday. It popped 250% on day one, which sounds great but actually reveals how broken the system is. Wall Street pocketed twice what Figma actually raised while employees sit locked up for six months, anchored to an unsustainable $115 price. The massive pop wasn't simply “market discovery”, there’s definitely a bit of terrible pricing from the investment bankers. One need not imagine what Bill Gurley had to say on the issue. But, overall, it’s a great day for investors (some returning 11x their fund, yes, the fund), and employees.
The structural problem haunting venture (5 minute read)
Venture capital has become a black hole where money goes in but rarely comes out. With $4 trillion in VC-backed assets but only $250 billion in annual exits, there's a 16-year backlog that's even worse in Europe. Most LPs haven't gotten their money back from investments made years ago, while the Nasdaq has outperformed VC returns across every timeframe. If this continues, well, then less money will go to VC.
Fund math for dummies (15 minute read)
A breakdown of venture fund math showing why mega-funds are struggling while smaller funds consistently outperform. Big VC firms need to capture impossibly large chunks of all startup value creation to hit their return targets, while venture success really boils down to two simple variables: good ownership stakes in outlier companies. Small funds dominate the top performance rankings.
Managing your career
Do credentials still matter? (2 minute read)
Building a company today is very different to what it was even a few years ago. Seasoned execs with stellar credentials are flopping at AI startups while young builders with no traditional experience are crushing it. The veterans are stuck trying to apply old playbooks to completely new rules, while the young folks naturally think in AI-native ways. New playbooks are being written with AI, I guess it all comes down to how quick you can learn.
What founders teach us (4 minute read)
The reality is that you are only as good as the team you put out in the field and the right hires can change a company’s history, while the wrong ones can stop it in its track. The best founders know this. They know that their most important job is recruiting. People want to work with A players, and the best founders are the ones who can bring those people in. They’re not just evangelists but visionaries who can see the future and assemble the team that will take them there.
How to spend your 20s in the AI era (38 minute watch)
AI has upended the once "safe" CS career path. New grads are facing unemployment rates twice those of art history majors, and a CS degree is no longer a surefire ticket to wealth. At the same time, small, focused teams are scaling from zero to eight-figure revenue in months. So, do you follow the traditional path, or do your own thing? Gary Tan and YC partners discuss.