The thesis of the arbitrage of innovation (venture capital) determines what innovation can be discovered (Einstein) and determines the fishing-net of innovation by which entrepreneurial ideas can be caught. Calling the arbitrage of innovation powerful is like crediting a referee in soccer for the game’s outcome.
I haven’t checked lately, but I have only seen SoftBank do large follow-on rounds, making them a follow-on investor based on another venture firm’s alignment of foresight. Most credit should go to the first money-in on innovation that positively prolongs humanity’s existence, hard to find when most venture capital today is subprime.
Post-chasm investing is really just a private equity risk profile and easy peasy, not powerful. But it is a nice-to-have at least in the later stages of a company’s runway and not to be overly fragmented in endless collusion and risk diversification so prominently deployed by the nitwits on Sand Hill Road.