Generally speaking, this isn't an entirely crazy idea. I'd argue that YC is primarily a networking service too. And it takes a much larger cut from successful startups.
YC doesn't get paid if the startup doesn't do well. The Portland 10 model talks about creating million dollar businesses but all of their compensation is up front. It appears to me that calling this a YC like program is not accurate. It looks like the $1500 is per person, not per team since they are talk about one on one interviews to get accepted.
