In the case of Magic Leap, VCs bought into the team’s background and expertise and banked on the likelihood of their success/impact if successful and decided to risk it. It doesn’t mean they were 100% sold- just that the risk/reward calculation they made was favourable.
Had they waited for Magic Leap to be a ways farther in their tech, (and had Magic Leap delivered), the price of entry to invest would be astronomical and the opportunity would have been ‘missed out’ on.
Why was a biomedical engineering guy (with absolutely no background in AR/VR/graphics/CS/...) being given a billion dollar to do something that is not up his ally at all?
What are we missing here? Which Team? I never understood this story.