what do VCs think?

When I started developing my site I never thought about needing any capital. Sure I needed private servers but I managed that. And yes if I had money I wouldn't have a day job but that actually may have helped. its weird but if you are under pressure you become really productive. so after the first year I managed to develop something decent and by next year have paying customers. Then few month ago I got an email from a vc saying that they are interested etc and setup a phone meeting. I had not much of an idea of what vc's do and what they want. Also I had never approached them before. So the only thing I though was to talk about my product and give a demo and explain some of the detail. instead the conversation became something else and very short. I guess they had though we were a large company or something and basically explained that they invest some millions of dollars and in companies with a revenue of about 100,000 per qt or more.

So what's the point? if I had 100,000/qt why would I need investment? All I need is more servers and do more marketing and bring few more people to join.

Also why is a vc interested in investing millions in say similar companies like ours that have a terrible product but perhaps have more users because they are marketing etc., when they can invest in a better product?

The only explanation I can think of is that people feel good about something when they pay more for it. And another explaination is that they just don't get it. I mean if google had gone to a vc before they became google would they be able to see? Another explaination is that they just want to wait until they are realy sure or something...