Blake Modersitzki: Pelion VC, Venture Returns, AI, War Stories, Top Deals & Scale episode artwork

EPISODE · Apr 30, 2026 · 1H 10M

Blake Modersitzki: Pelion VC, Venture Returns, AI, War Stories, Top Deals & Scale

from Startup Ignition Podcast · host John & Tyler Richards

In this episode of the Startup Ignition Podcast, Tyler and John welcome Blake Modersitzki, Managing Partner at Pelion Venture Partners and a foundational figure in the Utah tech ecosystem.Blake shares his incredible journey—from working as a security guard at WordPerfect, to running Novell Ventures alongside Eric Schmidt, and eventually helping scale Pelion to a massive $500M fund.He provides invaluable insights on:- What VCs truly look for during pitches- The surprising importance of a founder's "plus-one" (spousal support)- The math behind the venture power law- The epic story of Pelion's $2 billion return on CloudflareWhether you are a founder aiming for pre-seed funding or targeting a Series A, this episode breaks down what it takes to build a world-changing company in today's rapidly shifting, AI-driven market.TIMESTAMPS00:00:00 — Welcome to episode 49 with Blake Modersitzki  00:02:02 — Blake's history in the Utah tech ecosystem  00:04:54 — Icebreaker: "What has to be true" to invest?  00:06:03 — Why a founder's "plus one" (spouse) matters  00:08:48 — Finding a true wedge before scaling  00:10:30 — De-risking product-market fit in the AI era  00:13:09 — Scenario: Steady SaaS revenue, flat growth  00:17:11 — Understanding the Venture Power Law  00:18:15 — Responsibility to LPs (teachers, firemen, etc.)  00:22:26 — Early days: Farming, BYU, WordPerfect  00:24:45 — Novell acquisition & working with Eric Schmidt  00:28:40 — Running Novell Ventures (e.g., Red Hat)  00:30:13 — Joining Pelion & scaling to $500M funds  00:36:45 — Evolution of the Utah startup ecosystem  00:40:50 — Missed bets: NetObjects & Omniture  00:42:21 — Investing early in Domo (Josh James)  00:48:25 — Series A vs. Pre-Seed strategies  00:54:40 — Fund size vs. exit expectations  00:57:51 — Rapid fire: Founder traits & VC myths  01:01:11 — Cloudflare investment ($2B return)  01:04:26 — Advice to his 30-year-old self  01:08:00 — Final takeaway: Legacy & family  LINKSWebsite:https://startupignition.com/linksApply to be a guest:https://startup-ignition-podcast.paperform.co/Follow John & Tyler:https://x.com/trich_https://www.linkedin.com/in/johnrichards/YouTube: https://www.youtube.com/@StartupIgnitionX: https://x.com/startupignition  Instagram: https://www.instagram.com/startupignition/  TikTok: https://www.tiktok.com/@startupignition  LinkedIn: https://www.linkedin.com/school/6458758/admin/dashboard/  Facebook: https://www.facebook.com/startupignition/  HASHTAGS#VentureCapital #StartupIgnition #PelionVenturePartners #SiliconSlopes#TechInvesting #Entrepreneurship #StartupFunding #SaaS #PowerLaw#SeriesA #PreSeed #Cloudflare #BusinessGrowth #VentureReturns#AIStartups #FounderAdvice #ProductMarketFit #AngelInvesting#TechEcosystem #UtahStartups

In this episode of the Startup Ignition Podcast, Tyler and John welcome Blake Modersitzki, Managing Partner at Pelion Venture Partners and a foundational figure in the Utah tech ecosystem.Blake shares his incredible journey—from working as a security guard at WordPerfect, to running Novell Ventures alongside Eric Schmidt, and eventually helping scale Pelion to a massive $500M fund.He provides invaluable insights on:- What VCs truly look for during pitches- The surprising importance of a founder's "plus-one" (spousal support)- The math behind the venture power law- The epic story of Pelion's $2 billion return on CloudflareWhether you are a founder aiming for pre-seed funding or targeting a Series A, this episode breaks down what it takes to build a world-changing company in today's rapidly shifting, AI-driven market.TIMESTAMPS00:00:00 — Welcome to episode 49 with Blake Modersitzki  00:02:02 — Blake's history in the Utah tech ecosystem  00:04:54 — Icebreaker: "What has to be true" to invest?  00:06:03 — Why a founder's "plus one" (spouse) matters  00:08:48 — Finding a true wedge before scaling  00:10:30 — De-risking product-market fit in the AI era  00:13:09 — Scenario: Steady SaaS revenue, flat growth  00:17:11 — Understanding the Venture Power Law  00:18:15 — Responsibility to LPs (teachers, firemen, etc.)  00:22:26 — Early days: Farming, BYU, WordPerfect  00:24:45 — Novell acquisition & working with Eric Schmidt  00:28:40 — Running Novell Ventures (e.g., Red Hat)  00:30:13 — Joining Pelion & scaling to $500M funds  00:36:45 — Evolution of the Utah startup ecosystem  00:40:50 — Missed bets: NetObjects & Omniture  00:42:21 — Investing early in Domo (Josh James)  00:48:25 — Series A vs. Pre-Seed strategies  00:54:40 — Fund size vs. exit expectations  00:57:51 — Rapid fire: Founder traits & VC myths  01:01:11 — Cloudflare investment ($2B return)  01:04:26 — Advice to his 30-year-old self  01:08:00 — Final takeaway: Legacy & family  LINKSWebsite:https://startupignition.com/linksApply to be a guest:https://startup-ignition-podcast.paperform.co/Follow John & Tyler:https://x.com/trich_https://www.linkedin.com/in/johnrichards/YouTube: https://www.youtube.com/@StartupIgnitionX: https://x.com/startupignition  Instagram: https://www.instagram.com/startupignition/  TikTok: https://www.tiktok.com/@startupignition  LinkedIn: https://www.linkedin.com/school/6458758/admin/dashboard/  Facebook: https://www.facebook.com/startupignition/  HASHTAGS#VentureCapital #StartupIgnition #PelionVenturePartners #SiliconSlopes#TechInvesting #Entrepreneurship #StartupFunding #SaaS #PowerLaw#SeriesA #PreSeed #Cloudflare #BusinessGrowth #VentureReturns#AIStartups #FounderAdvice #ProductMarketFit #AngelInvesting#TechEcosystem #UtahStartups

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Blake Modersitzki: Pelion VC, Venture Returns, AI, War Stories, Top Deals & Scale

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This episode was published on April 30, 2026.

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In this episode of the Startup Ignition Podcast, Tyler and John welcome Blake Modersitzki, Managing Partner at Pelion Venture Partners and a foundational figure in the Utah tech ecosystem.Blake shares his incredible journey—from working as a...

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