VC Funding in New York Lowest in 15 Months
VC Funding in New York has been the lowest it has ever been in 15 months. Funding levels have fallen by approximately 41% since the fourth quarter of 2011. However, these numbers reflect the deal values but not the volumes. The deal volumes have climbed by 11% in the same time frame, the reason being that there are more deals being conducted in the early stage and seed A rounds of funding than subsequent rounds.
Mega-deals have been hard to come by this quarter. Due to this, New York has slipped to the third spot behind San Francisco and Mountain View in terms of Internet deals and fourth spot behind San Francisco, Mountain View and Palo Alto in terms of Mobile deals. Their plan to move up the list should be to invest in startups that have been around for awhile and have managed to sustain themselves through their initial periods of volatility while growing an active user/consumer base. These startups that have passed seed/ Series A stage will drive the NY ranking up the list.
To learn more about Q1 2012 VC Funding Results, please click on the following link: “Venture Capital Deals and Funding – Quarterly Venture Capital Report for Q1 2012”