Can you suggest other saner forms? For example, having experts pick, government pick, or only one single debt instruments all have problems with the kinds of investments VC funds, not to mention that they also have their share of ludicrous and bad investments.
Also please suggest how you’d stop VC as is at its core a private investment club - you and other investors get together to invest capital into a profitable but risky venture. The only way to stop it would be to either ban private capital or to ban coordination of capital which on net ends up significantly worse.
1. Large firms investing in early r&d instead of aquisition.
2. Its a symptom of decades of poor economic policy rewarding speculation, to a scale that impacts society by disencentivizing stable investments that benefit humanity. Main lever causing this is through Federal reserve poor policy since 200
It’s also what Xerox and Bell labs were doing in the 70s and what Google, Meta, Amazon, Apple, Microsoft etc are doing today but it took smaller more nimble players to actually do anything with the research. Case in point: transformers came from Google.