In June, TPG partnered with the talent agency CAA to launch a $250 million fund earmarked for investment in the creator economy. Miller sits on the advisory board of the fund, called Compound, and will help deploy the capital—one of the largest investments in the creator economy to date.
This interview has been edited.
Mark Stenberg: Give me the high-level pitch on Compound. What are you looking for when you evaluate creator companies, and what made now the right time to launch this?
John: I’ve believed in the creator economy for a long time. I was an early investor in Maker Studios, but it was too early because the monetization wasn’t there yet: marketers weren’t supportive, commerce hadn’t matured, and the platforms hadn’t figured out how they felt about creators. Fast forward to today, and all three of those things have matured into something investable. That’s the premise behind Compound.
Mark: Where does Compound want to sit in the market? Early-stage creators, or the biggest names that already exist?
John: At least initially, it’s the latter. We’re investing in folks and businesses that clearly have some traction and momentum. We want to be at the higher end of the market—almost like how HBO positioned itself against the rest of television—and look for high-quality businesses and personalities we can become partners with.
Mark: Fox has done something similar through its Creator Studios program. How is Compound’s approach different?
John: I think what Fox is trying to do in the creator space is focus on creator-based IP and talent in specific IP roles. We’re not opposed to that, but our primary focus is on the businesses themselves. The creator business itself may have IP associated with it, but we’re investing in the underlying business, not directing the IP.
Mark: You’ve said this is part of a bigger trend beyond just Compound. What does that look like?
John: If you step back, creators, indies, whatever you want to call them, are taking greater share of each market they’re in. Indie games are growing faster than AAA games. Fan fiction is growing faster than traditional publishing. This is a long-term global trend, driven by the rise of platforms, the tools that enable creation, and their falling cost.
Mark: Do you see any of the creator businesses you’re hoping to invest in becoming billion-dollar companies?
John: Billion feels a little far off. I’d like to see some businesses we’re thinking about get into the nine figures—they’re not there today. Billion’s hard. I don’t think we’re underwriting that yet.
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