Peter Thiel
“Over time, the biggest risk that you can take is to not take any risks.”
Most Famous for
Peter Thiel is a co-founder of PayPal, Palantir Technologies, and the VC firm Founders’ Fund. He was also the first external investor in Facebook and wrote an influential book on entrepreneurship called Zero to One.
Investment Area
Thiel built his fortune by investing in tech companies. In addition to founding PayPal and Palantir Technologies, he was also among the first investors in Facebook, SpaceX, Airbnb, Piëch Automotive, LinkedIn, Spotify, Asana, Quora, Stripe, and Block.one. His net worth is estimated to be over USD 9 billion.
He is a lover of science fiction and believes in the power of technology to help solve the world’s biggest problems. Thiel has invested in several biotech and clean technology projects and is a co-sponsor of the OpenAI project alongside Elon Musk.
Lessons for Investors
Seizing opportunities has been a core theme in Thiel’s life. After swapping law for venture capital and making his fortune with PayPal, he has remained vigilant for good investment opportunities. He is a strong believer in tech companies with proprietary technology and network effects that can establish a natural monopoly. Companies with competitive advantages and the ability to lock users in are a gold mine. Following these principles, he has invested in Airbnb, LinkedIn, and Facebook just to name a few.
While you may not have the same insight, network, and money as Thiel, you can now invest early in the types of companies that Thiel invests in. He stresses the importance of not missing out on investing in growing companies. “One of the major mistakes one can commit as an investor is to have a casual approach towards investing. Do not make the mistake of underestimating the power of diverse portfolios in growing companies. It is important to pay attention to growing companies and invest in them.” For example, Moonshot is now offering its members the opportunity to invest in SpaceX and Piëch Automotive, companies that are already present in Thiel’s portfolio.