Here's an anecdote about skepticism towards YC that may be somewhat instructive: In 2005 after I attended Startup School and I learnt about YCombinator, I mentioned it to a well known and successful entrepreneur (who I know knows pg). The first thing he said: "Taking 5% for 5-10 grand is rape". He went on to clarify he didn't think pg is a bad guy but...

Since then, startup after startup has shown how much value the YC program has provided in exchange for that 5% stake to the point where I bet a majority of young first time entrepreneurs today consider applying to YC.

My point is the same as @lanceweatherby 's. Let's wait for the these new funds to get some results before we judge them.