An Exclusive Club?

Spotted in the crowd at Buyouts Symposium East was Doug Lowenstein, head of the new Private Equity Council. So I ambled over, and asked why all of the inaugural PEC members are part of the “mega-fund” community? Does it indicate that PEC will be an exclusive club focused on the needs of the few, rather than a broad-based operation focused on the many (like NVCA)?

He said that PEC believes it will be easier to launch with fewer members – operational difficulties of too many cooks in the kitchen – but that it may open up to a broader membership sometime down the road. He added that PEC first needs to determine what specific services it can offer to members, beyond just lobbying on their behalf. If policy promotion is the only service, then most mid-market firms might not join. After all, why pay a membership fee when Carlyle/Blackstone/etc. are already footing the bill?

Lowenstein obviously has a difficult task ahead of him, but at least he’s no longer lobbying on behalf of the video game industry