http://www.ovp.com/News--Events/Newsletter/
Submitted by
jkopelman
22 months, 19 hours ago
In 2000, there were 1156 different venture firms that made at least one new deal. In 2006, there were only 597. This is more like a 50% drop, not just 15%! We think that is the big, so far unwritten, story. The US venture industry has been cut in half. That certainly qualifies as a major shake-out.
There is one more piece of data we found interesting, and here we and the NVCA are completely in synch. The average size of the most recent fund raised by the venture funds in 2006 was exactly double that of 2000. The 2000 funds came in about $100M, while the 2006 funds were at $200M.
