To some extent I think the VC might actually be right here. I think some people get too caught up in the idea that there's a tiny minority of "great" programmers who can perform miracles, and everyone else is a mindless drone unworthy of coming anywhere near your code.
I'm not saying that all programmers are equal, but if this guy can't even find _one_ programmer in the whole of Silicon Valley that he thinks is worthy of working on his project (which appears to be an iPhone-based grocery list -- not exactly the most intellectually demanding project in the world) then he might be looking for something that doesn't exist.
I think it comes down to Ambrosia versus Microsoft. The author would prefer to produce software the way Ambrosia does. The VC prefers the Microsoft way.
Especially so if the programmer in question is a Mac/Cocoa programmer. There are few of them around, and chances are they are either working at Apple or doing their own thing.