Kevin Hartz has always been ahead of the curve. In 2001, he co-founded Xoom, long before sending money across borders became as easy as clicking a button. Xoom went public in 2013 and was acquired by PayPal for $1.1 billion in 2015. Four years after launching Xoom, Hartz co-founded Eventbrite, which went public in 2018 and revolutionized event ticketing, making the process far less frustrating for users.
Kevin Hartz Bets Big on Teenage Founders as the Next Tech Boom Emerges
After a stint at Founders Fund, Hartz launched his own venture firm, A Capital*, named after a famous computer science algorithm. In 2020, he spotted another trend early: the SPAC boom. His blank-check company “one” acquired 3D printing company Markforged in a $2.1 billion reverse merger in 2021, just as SPACs were becoming a Silicon Valley craze.
Now, Hartz is turning his attention to teenage founders. His firm recently invested in Aaru, an AI-powered prediction engine led by a founder too young to drive at the time. This reflects a growing movement of young, ambitious entrepreneurs, echoing the famous dropouts like Steve Jobs, Bill Gates, and Mark Zuckerberg. High school students are increasingly launching startups and skipping traditional education paths to build their visions.
Cory Levy, a former high school intern at Founders Fund, Union Square Ventures, and Techstars, exemplifies this trend. He dropped out of college after his freshman year and now runs Z Fellows, a one-week accelerator that gives technical founders even high schoolers $10,000 grants. Levy notes that among his cohort, “at a big group dinner of 15 or 20 people, we’ll look around the table, and no one has a college degree.”
Recognizing this trend, Y Combinator recently launched a program for students who want to start companies without leaving school. Accepted applicants can get funded immediately but defer participation until after graduation, supporting young founders while keeping the traditional path open.
Hartz explains that many of these teenagers are simply bored with school. He recalls backing a company with founders aged 18, 18, and 15 the CTO was only 15 at the time and notes that such young talent is not unusual in today’s tech landscape. Programs like Z Fellows and the Thiel Fellowship offer early support, with small grants and later-stage funding opportunities, encouraging these young founders to take the leap.
Hartz also observes broader societal trends pushing teenagers toward entrepreneurship. The workforce is shifting, with more people working independently rather than for big corporations. AI and automation are reshaping job markets, prompting young people to create opportunities for themselves rather than wait for traditional roles.
While funding teenage founders comes with challenges Hartz admits it can be both exhilarating and intense he believes the current moment marks the beginning of a tech super cycle, particularly in AI, with countless opportunities for disruption across multiple sectors.
On a personal note, Hartz shares his perspective as a parent. His 17-year-old is currently applying to college and wants the traditional experience, while his 13-year-old may consider different paths. He respects both choices, emphasizing that young people today have unprecedented freedom to explore and innovate.
