If you didn't watch the office hours I would recommend watching that first as it provides a ton more context to this video.
Funny. It was so patently obvious that PG was holding back on a couple of the startups today. One was positioning itself as "Google Maps but better." PG recommended the company focus on something Google wasn't doing well, so that "...at least then [they'd] be hanging on the cliff by a finger, rather than in free fall."
'Oh, so you dont suck, thats a great feature to have'
I love that quote.
Is PG wearing two collared shirts at the same time?