VC Financings For Internet Startups Down 16 Percent in Third Quarter
Posted by WebNews 1315 days ago (http://feedproxy.google.com)The MoneyTree Report from PricewaterhouseCoopers and the National Venture Capital Association came out this morning. It shows that total VC financings in the third quarter were down 7 percent compared to the same period last year, to $7.1 billion. That is also down about the same amount from the second quarter. In the chart above, I've plotted the dollar value of VC investments for each third quarter going back to 2001, coming off the last boom, when $8.3 billion was invested in VC-backed startups. While $7.1 billion is still a healthy amount, you can see that this may be the first quarter of a significant decline in funding activity.
If you zero in on Internet deals, VC funding declined 16 percent to $1 billion. Below is a chart plotting the sequential dollar amount going into Internet deals going back to the first quarter of 2002, when $1.3 billion was invested. (Sorry for the apples to oranges comparisons between this and the first chart, which just shows numbers from the third quarter of each year. The entire spreadsheet with all of this data and more going back to 1995 is embedded below).