Venture capitalists ‘seizing opportunities from adversity’ – INQUIRER.net


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Venture capitalists ‘seizing opportunities from adversity’  INQUIRER.net

Business doesn’t stop for startup execs during crisis. But it sure changes. – Crain’s Detroit Business


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Business doesn’t stop for startup execs during crisis. But it sure changes.  Crain’s Detroit Business

Gender Bias In Predictive Algorithms: How Applied AI Research Can Help Us Build A More Equitable Future – Forbes


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Gender Bias In Predictive Algorithms: How Applied AI Research Can Help Us Build A More Equitable Future  Forbes

4 ways to lift up others during these uncertain times – NBC News


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

4 ways to lift up others during these uncertain times  NBC News

Where are Most Unicorns Headquartered? • Tomasz Tunguz


This post is curated by Keith Teare. It was written by Keith Teare / Newsletter's Venture Trends Board. The original is [linked here]

Earlier this week, I wrote Californian Dreaming – Is Silicon Valley Still the Best Place to Start a Company, where I analyzed the IPO and M&A trends of venture-backed companies by state. Those metrics are lagging indicators of startup distribution. How will the distribution change with time?

While we can’t know the future M&A and IPO of any company in particular, we can try to divine the future by looking at current unicorn distributions.

image

I pulled the unicorn valuation list and analyzed US startups by state. 63% of current unicorns, startup companies valued at $1B or more, are headquartered in California.

image

79% of unicorn market capitalization accrues to startups headquartered in California. (Unicorn market cap is the last known valuation of the companies).

If recent history has taught us anything, it’s that valuations can change on a dime. Barring some sudden shift, these data suggest California’s share of significant exit events should at least sustain current levels; and an optimist could argue, further concentrate in California.

California Dreaming – Is Silicon Valley Still the Best Place to Start a Company? • Tomasz Tunguz


This post is curated by Keith Teare. It was written by Keith Teare / Newsletter's Venture Trends Board. The original is [linked here]

So much has happened in the last decade. We’ve seen the rise of massive startups in Europe, South America, China, Israel. Technology entrepreneurship is a global phenomenon. Within the US, there’s much talk of a diaspora out of California and Silicon Valley, particularly with the sudden move to remote work catalyzed by the coronavirus. Has the shine rubbed off the Golden State to reveal pyrite?

image

Over the last ten years, California based startups consistently raise about 35% of the venture capital in the US by round count. In dollar terms, California’s share is a bit higher at 40%. That figure hasn’t changed despite the massive increases in total venture funding from about $10B to $100B in that time frame.

image

However, California startups’ share of acquisitions has declined meaningfully from 30% to 19%. Acquirers have started to shop outside of California browsing wares in other states’ aisles. Not the states you might think of like New York or Massachusetts, but the other ones. This fragmentation is a natural by-product of labor market arbitrage and the dispersion of knowledge all over the world.

image

It’s not all bad news for California. The Bear Flag Republic’s share of US startup IPOs has doubled in the last two years from 25% to more than 40%. That’s important because a few goliath startups dominate venture capital returns. Although more M&A occurs elsewhere, more of the largest companies in the US are built in California.

And this persists for all the reasons that have made Silicon Valley special: the open networks, the universities, the culture, the concentration of capital.

image

You might counter the startup IPO market is dead, long live the IPO market. And it indeed has contracted by about 30% per year since 2010, while M&A has tripled. The real litmus test is the number of billion-dollar M&A compared to IPOs, which today are almost always valued at $1B or more. Over the past decade, 102 M&A transactions have occurred for more than $1B. With more than 150 IPOs in the slowest year and better than 3000 in the last decade, the IPO remains dominant in the quest for outsized returns.

The California dream is alive and well.

Source: Crunchbase data

Post-coronavirus fate differs among Shenzhen tech startups – Nikkei Asian Review


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Post-coronavirus fate differs among Shenzhen tech startups  Nikkei Asian Review

Short-term rental market faces consolidation as start-ups and small landlords offload properties – CNBC


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Short-term rental market faces consolidation as start-ups and small landlords offload properties  CNBC

Spinjet3D Wins 2020 New Venture Competition – Noozhawk


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Spinjet3D Wins 2020 New Venture Competition  Noozhawk

A guide to EMERGE 2020: speakers, chatroulette and virtual bars – CoFounder Magazine


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

A guide to EMERGE 2020: speakers, chatroulette and virtual bars  CoFounder Magazine

The Weekly Notable Startup Funding Report: 6/1/20 – AlleyWatch


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

The Weekly Notable Startup Funding Report: 6/1/20  AlleyWatch

Bynd Venture Capital Archives – AlleyWatch


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Bynd Venture Capital Archives  AlleyWatch

Zynga in advanced talks to acquire Turkish mobile gaming company Peak for over $1 billion: report – MENAbytes


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Zynga in advanced talks to acquire Turkish mobile gaming company Peak for over $1 billion: report  MENAbytes

Startups Weekly: Remote-first work will mean ‘globally fair compensation’ – TechCrunch


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Startups Weekly: Remote-first work will mean ‘globally fair compensation’  TechCrunch

$100 million ag fund to address unexpected disruptions – moosejawtoday.com


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

$100 million ag fund to address unexpected disruptions  moosejawtoday.com

Short-term rental market faces consolidation as start-ups and small landlords offload properties – CNBC


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Short-term rental market faces consolidation as start-ups and small landlords offload properties  CNBC

Big-Tech Fight Against COVID-19 ‘fizzles’ – Forbes


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Big-Tech Fight Against COVID-19 ‘fizzles’  Forbes

Santander InnoVentures leads US$5 million investment in a55 – Contxto


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Santander InnoVentures leads US$5 million investment in a55  Contxto

VCs at Alphabet’s GV reveal 3 healthcare companies they admire – Business Insider


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

VCs at Alphabet’s GV reveal 3 healthcare companies they admire  Business Insider

Apple, Microsoft keep making acquisitions despite pandemic – WRAL Tech Wire


This post is by "Venture Capital" - Google News from "Venture Capital" - Google News

Apple, Microsoft keep making acquisitions despite pandemic  WRAL Tech Wire