[safeimp]

I'd say it depends on the product and level of effort that goes into supporting either group but yes, I'd generally lean towards this as well but it can be very difficult for a business to maintain this depending on their stage.

The upside to having a healthy number of minnows is, assuming it's low effort to have them onboard in a mostly self-services manner, then they can help the business grow in a healthy way while the team focuses on the larger and more complicated opportunities that may easily lead to nothing. If all you have are the whales it becomes feast or famine but if you have a healthy combination of small and large you'll be well covered. And of course you're banking on a percentage of the smaller customers eventually growing too.

Again, it's about the product and selling motion. Back to the topic, in this instance Broadcom did the math and they simply don't have a product that lends itself well to smaller shops and just isn't worth their time and effort to pursue.