As cash becomes a commodity in the venture industry, competition emerges. How firms compete will be interesting to watch.

As you point out in your comment, a lower tier VC could “climb the ladder” (or the appropriate analogy) by providing services that entrepreneurs attach considerable value to.

I don’t know where this fits in any of the arguements, but someplace in the discussion I read a pointed comment stating that everyone discussing the value of ACs and how they should be paid with equity because they provide services that VCs can’t, were, well, ACs.

[also, good for you for reminding people that VCs are not evil individuals].