American VCs forced European startup to move to Silicon Valley - it was a disaster
“They tried to recruit, but obviously, nobody in Silicon Valley knew what, like, Truecaller was.”
the founders are European. A 100%. Alright. It's a bit sad. But that's just how it is. I remember Truecaller are friends of mine, also fantastic company, European I was at Atomoca when they did that. Yeah. Nami and Zahi. And and they were, like, told by the VCs, the American VCs, like, you have to move your engineering center to Silicon Valley because otherwise everything's gonna go to shit. And they did. And it was a disaster. And they had it for a year. They tried to recruit, but obviously, nobody in Silicon Valley knew what, like, Truecaller was. And they were already a pretty grown company, so they couldn't, like, attract as a startup in that sense. And they had a hard time recruiting and whatever. And they're just like, why are we doing this? And then they shut it down. They lost a year on that. They lost a year on that. Lost so much traction. And then some of these VCs were like, oh, you're not doing well. So now we're not gonna put our partner on your board anymore. We put some junior guy on your board because we don't care because you're not our top priority of companies anymore. It's a more savage indictment, isn't it? When you get the associate join the board and you're like, oh, fuck. Yeah. Exactly. Relegated.
About this clip
Sebastian Siemiatkowski shares the cautionary tale of Truecaller, whose American VCs pressured them to relocate their engineering team from Europe to Silicon Valley. The move backfired spectacularly - they struggled to recruit, lost a year of traction, and were eventually downgraded by the same VCs who pushed for the relocation.
Why this clip
This is a powerful cautionary tale about the dangers of blindly following VC advice and the cultural biases in venture capital against non-US companies.
What they said next
AI is allowing us to reinvent the wheel all the time. If you come in and say, I want to write this piece of code, somebody else prompted the same AI, the exact same thing somewhere else. We're still using tons of server power to generate the exact same code.
8:04 - 23s · Business Mechanics
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