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Venture money ruins software: raise a fortune, hire hundreds, and crap comes out, because the funnel that forces hard choices is gone.

Drawn from what David Heinemeier Hansson said

Subjectstartups

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What David Heinemeier Hansson actually said

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David Heinemeier Hansson 26 Jul 2026

Creator of Ruby on Rails, CTO of 37signals

This was one of the reasons why I was always so skeptical about venture capital when it came to software. Because I saw time and again people raise an enormous amount of money, hire hundreds of people, and produce crap software.

Where this was said
Watch from 0:12:16 plays here
↗DHH: How to Build a Profitable Company Without Losing Controlyoutube.com

video · 1h 41m · spoken · machine transcript

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