During his hit on CNBC yesterday, Marc Andreessen said his firm looked at 1,500 startups just last year.All 1,500 were recommended to AH by trusted sources.
That’s a lot of it’s-the-Foursquare-of-this and the-3D-Instagram-of-that – about six per business day and 30 per week.
Andreessen and his team will obviously suffer through so many pitches gladly. They are in the business of finding great startups and they need to see as many as possible.
AH is very picky. It has invested in 90 companies since 2009. So if the firm looked at as many companies in 2009 and 2010 as it did in 2011, the percentage of startups looked at that then get an investment is about 2%.
And, of course, the companies that are recommended to AH by trusted sources are a tiny fraction of all startups. And AH invests in a lot of later-stage companies, too. So the odds for startups are actually much, much smaller.