If you go through the most recent YC batches, it's insane how much of their "customer list" is just other companies in the same or recent batches
One of Micheal and Dalton video does address this
Even if you larp revenue, when you get acquired or go public auditors will figure stuff out. Or worse you go to prison. Its like cheating in college-youre just hurtung yourself and others
It's the YC playbook. I guess it works, Corgi for example a "AI" insurance company with like only 5 real engineers and a bunch of growth people. Their main customer is other startups mostly YC. Same with Delve.
Yeah, they raise a massive round on traction from other YC companies then need to find the real Product Market Fit (enterprise and others) after that round. It's actually very inefficient