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This is not something they are choosing - it is a market reality. Its now possible to start a company and essentially get to a B round without taking investment because cloud services make it so inexpensive that founders really don't need VCs any longer.

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Cloud services have gotten cheaper but talented hires have gotten more expensive, and the latter is always the largest expense in scaling. And no, you can't scale a company and keep head count ultra tiny, there's just too much to do.

Also not why :-).

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