Sam Altman says Paul Graham and Peter Thiel taught him a key lesson about investing

OpenAI CEO Sam Altman has credited legendary investors Paul Graham and Peter Thiel for teaching him a crucial lesson regarding investing. During a recent episode of the "Invest Like The Best" podcast, Altman expressed that the very best companies and investment opportunities are rarely the ones that appear popular. While following trends and being early can yield some success, to truly excel, one must venture into avenues that may seem unpopular at first glance.

Altman, who previously led Y Combinator, a renowned startup incubator founded by Graham in 2005, shared that investing in popular companies rarely leads to spectacular returns. He likened being a startup investor to being a flight instructor, emphasizing the importance of providing guidance and pointing out mistakes, rather than a traditional lecture-style approach. Altman appreciated the hands-on guidance Graham provided, which enabled entrepreneurs to avoid pitfalls and make better decisions.

The OpenAI CEO's own experiences in Silicon Valley, particularly during the realization that OpenAI was on an exponential curve of model improvement, reminded him of the fundraising process for early-stage startups. Despite facing numerous rejections, Altman highlighted that securing even one or two "yeses" can make all the difference in taking the necessary steps to build a successful venture.