When is the right time to change your company, role, or even your entire industry? The answer varies depending on who you ask. However, in venture capital, one thing is clear: the industry is experiencing a significant talent flux.

The Turning Point: 2023-2024
The venture capital industry faced a turning point in 2023, with the market slowdown putting immense pressure on both valuations and deal flow. The talent in the VC space was especially affected, as frustrations and career reflections grew. For some, this was a breaking point; for others, it was a wake-up call that set the stage for a massive shift in VC talent.

What drove this change? Several factors contributed to the rise in talent movement, including:

• The Desire for Independence: Many investors are natural entrepreneurs. For some, 2023 was the perfect moment to leave large firms and start their own ventures instead of competing in a crowded market.
• Frozen Deal Flow: A cautious investment environment left many VCs unable to deploy capital, causing career stagnation and frustration.
• Misalignment with Large Firms: Larger VC firms often have structures that can limit career growth for ambitious individuals. As the focus shifted from high-risk investments to asset management, many partners felt the need to explore new opportunities.
• Burnout and Toxic Environments: The pressure to succeed, combined with poor leadership and unhealthy work environments, pushed many professionals to reconsider their career paths.
• Shifting Roles: Some VCs began looking beyond traditional investing, seeking roles that allowed them to make a more tangible impact in operational positions.
• Fundraising Challenges: With fewer investors willing to commit capital, some VCs began rethinking their future within the industry.
• AI Disruption: The rapid rise of AI forced some investors to leave traditional firms in search of more forward-thinking opportunities that embraced AI.
• Generational Shifts: For veteran investors, 2023 marked a moment to reflect on their careers. Some decided to exit, recognizing that the venture landscape had changed.

Despite hopes for a market rebound in 2024, recovery has been slow. Yet, one undeniable shift is clear: VC talent is moving like never before. The movement that once simmered quietly is now reshaping the venture capital landscape.

Snapshot of Talent Movement
Career moves aren’t always predictable. Some shifts in the venture capital world have been building for months or years. Notable recent moves include Sam Blond of Founder’s Fund, who transitioned into an operational role, and Miles Grimshaw, who returned to Thrive from Benchmark. Additionally, Keith Rabois made his way back to Khosla Ventures.

The rise of new firms also continues:

• Michael Gilroy (formerly of Coatue) launched MarathonMP with Gokul Rajaram.
• Bilal Zuberi (formerly of Lux Capital) is working on a new fund.
• Anu Hariharan (formerly of Y Combinator) is paving her own path.

Some firms had to make difficult decisions due to challenges in fundraising. Greycroft cut five investors after failing to meet its fundraising target, while Octopus Ventures laid off 16% of its team. In Europe, Cavalry Ventures lost its third partner in 2024, and Judith Dada moved from General Catalyst to Visionaries Club in 2025.

Looking Ahead to 2025
Career-defining moves often occur during periods of intense pressure, such as the 2023-2024 downturn, or during times of market excitement, like the 2020-2021 boom. In between these cycles, many professionals tend to stay put. However, the market downturn led to an unprecedented reshuffling of venture talent, a trend that is still ongoing.

Looking toward 2025, the venture capital landscape is more optimistic than it was a year ago. This year presents a unique opportunity for professionals to reassess their goals, strengthen their networks, and embrace new possibilities.

The Opportunity for Emerging Talent
For junior and mid-level talent, the opportunity is even greater. As senior-level transitions continue to reshape firms, hiring is picking up again. Now is the time to make a bold move and secure a new role in the evolving venture space.