Why VCs Must Become Attention Prospectors

When oil was first discovered in Titusville, Pennsylvania in 1858, it sparked a frenzied race that transformed ordinary people into industrial titans. Those who controlled this resource – who could find it, refine it, and distribute it – built empires that changed the world.

But over time, something happened to oil. As extraction technology improved and global reserves were tapped, what was once a scarce, precious resource became largely commoditised.

Today, consumers don't particularly care where their gasoline comes from – it's all essentially the same, and price becomes the only real differentiator.

The venture capital industry has undergone a similar transformation. What was once a boutique, relationship-driven business has seen enormous capital inflows, with funds becoming increasingly interchangeable in founders' eyes.

Capital, like oil, has become commoditised.

Why Attention Matters More Than Capital

So if startup capital has been largely commoditised… has attention has become the truly scarce resource?

Consider the maths:

• There are over 1,000 active VC firms in the US alone…

• Most large markets have dozens of funds with similar theses…

• The top % founder receives multiple term sheets for competitive rounds…

• LPs have more fund options than ever before…

What separates the funds that consistently win the best deals is their ability to capture and direct attention.

Unlike oil, attention cannot be manufactured. It is fundamentally finite.

There are only so many hours in founders' days, only so many LP meetings in a quarter, only so many slots for industry conference speakers.

And unlike oil, attention cannot be commoditised. The attention of a technical founder building in your specific sector is qualitatively different from general market awareness.

The Three Wells of VC Attention

For venture firms, three specific attention pools matter most: