VC businesses like Twitter and Uber create centralized points of stagnation that seem great at first, but can't innovate the way open systems can. If Twitter was open we wouldn't be wondering if they'll improve their product or who will be CEO, because there'd be a dozen people innovating on it. Instead, because the network is owned by one group of people, that basically doesn't happen.
We still get that sort of amazing, eco-system creating innovation when a rare innovator declines VC (wikipedia, bitcoin). But when a VC steps in, the only innovations that flourish are those that benefit the capitalist.
Venture capital is, ironically, the enemy of innovation. It doesn't support it; it captures it and restrains it, tying it down with the bonds of capital.