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With AI, investor loyalty is (almost) dead: At least a dozen OpenAI VCs now also back Anthropic

Read the full articleWith AI, investor loyalty is (almost) dead: At least a dozen OpenAI VCs now also back Anthropic on TechCrunch
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What Happened

While some dual investors are understandable, others were more shocking, and signal the disregard of a longstanding ethical conflict-of-interest rule.

Our Take

Venture capital has no loyalty, only returns. This is just capital allocation doing what it always does—follow the best risk-adjusted return. The "ethical conflict of interest" is cute in theory, but VC has never been principled about that stuff. You back multiple competing bets because one of them will exit at 50x and pay for the losses.

Here's the thing: A dozen OpenAI VCs backing Anthropic isn't a scandal, it's transparent portfolio hedging. If you're serious about this sector, you can't put all your chips on one model provider.

This tells you something darker: VCs are hedging because they don't think OpenAI has locked in a moat.

What To Do

If you're picking an LLM vendor, don't assume market leadership = technical superiority; watch where informed capital actually flows.

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