That might be true in consumer web products. I wouldn't know. But it's wrong in enterprise IT products. Venture funding pushes people towards rube goldberg contraptions that overcome "defensibility" hurdles by sounding unlike anything else on the market and, not coincidentally, unlike anything anyone would want to buy.
In enterprise IT, the buyer isn't the user, and purchasing decisions are based on many factors besides quality of the software. It's unrealistic to blame all of that on VC funding.
This is a myth about enterprise IT products. I'm calling the whole space "enterprise", because that's what Graham would call it, but we're talking about all products that sell for over the ~$60k to justify direct sales.
That may include crazy stuff like SAP or PeopleSoft --- ew --- but it also includes Splunk and Palo Alto Networks and pretty much every security products. The buyer is the user for almost all of these products. Quality is very much an issue, although it's again stunted by VC.
You want a good example? Procket.