VC: "Software Is Basically Worth Zero Now" | Tyler Hogge, Ex-Pelion

Tyler Hogge helped take Divvy from zero to a $2.5B acquisition by Bill.com. Now, as General Partner at Pelion Ventures, he argues that charging for software is dead, per-seat pricing is collapsing, and the next decade of venture-scale companies will be built on outcomes, not subscriptions. In this episode of the GTMnow VC Podcast, Tyler sits down with Max to break down what comes after SaaS pricing, why founder intensity is the only trait that still matters in 2026, and how Pelion concentrates capital into its biggest winners (Cloudflare alone returned over $1B to the fund). He also shares why most startups won't survive going head-to-head with OpenAI and Anthropic, the "bent the odds" contract he signed with Redo's CEO, and the lesson from raising four kids that changed how he leads. This is an honest, no-fluff conversation about where venture is going as AI commoditizes software. Chapters: 00:00 Intro 01:14 Intro 18:48 Tyler joins 23:09 "Sell Jesus, sell anything" 27:42 The $2.5B Divvy exit 34:39 The "bent the odds" contract 38:11 Startups vs. OpenAI and Anthropic 39:05 "Software is worth zero" 40:55 The death of per-seat pricing 43:02 Lessons from raising 4 kids 46:44 "LinkedIn is the trailer park" Connect with Tyler: https://x.com/thogge https://www.linkedin.com/in/thogge/ Connect with Max: https://x.com/hackitmax https://www.linkedin.com/in/maxaltschuler/ Connect with Paul: https://x.com/PaulGTM https://www.linkedin.com/in/paulsirving/ About Tyler Hogge: Tyler Hogge is a General Partner at Pelion Ventures, Utah's oldest and largest venture fund with $500M AUM across eight funds. Before Pelion, Tyler was VP of Product at Divvy, which sold to Bill.com for $2.5B in 2021. Earlier in his career, he was a product leader at Wealthfront under Andy Rachleff and Adam Nash. He's based in Utah and one of the most active venture capitalists on X. About GTMnow: GTMnow is the media arm of GTMfund, a pre-seed and seed-stage B2B SaaS venture firm backed by an LP base of 300+ C-suite and VP-level operators from the best go-to-market organizations in tech. The GTMnow VC Podcast publishes every other week with the investors and operators shaping the next decade of B2B software. Brought to you by: AngelList From starting as a small, operator-led rolling fund, to evolving to an institutional platform, AngelList has been a core partner in every phase of GTMfund’s growth. Their software-first fund admin infrastructure allowed us to scale without sacrificing agility, from onboarding hundreds of LPs seamlessly to handling compliance, capital calls, and reporting as our fund size evolved. Transcript available under the episode here: https://gtmnow.com/tag/podcast/ Subscribe to GTMnow for the latest episodes! https://gtmnow.com For inquiries about sponsoring the podcast, email [email protected] GTMnow is a media brand brought to you by VC firm, GTMfund: https://gtmfund.com/ Subscribe for new episodes every week #VentureCapital #VCpodcast #SaaS #AI #B2BSaaS #GTMnow #StartupFunding #TylerHogue #PelionVentures #FounderAdvice Visit us on: https://gtmnow.com Follow us on LinkedIn: https://www.linkedin.com/company/gtmnow Follow us on X (Twitter): https://x.com/GTMnow_ Follow us on YouTube: https://www.youtube.com/@GTM_now Follow us on TikTok: https://www.tiktok.com/@gtmnow_ Follow us on Instagram: https://www.instagram.com/gtmnow_/ The GTMnow Podcast The GTMnow Podcast is a weekly podcast featuring interviews with the top 1% GTM executives, VCs, and founders. Conversations reveal the unshared details behind how they have grown companies, and the go-to-market strategies responsible for shaping that growth. Visit gtmnow.com for more episodes and other interesting content.