Are VC wallets starting to open up again?
October 20, 2009 by Dave Haynes
TechCrunch has a post up about MoneyTree data from PricewaterhouseCoopers and the National Venture Capital Association that shows an uptick in venture capital spending in the 3rd quarter.
More venture dollars went into startups in the third quarter than the two previous quarters of the year, but was still down 33 percent from a year ago, according to the latest MoneyTree report put out by PricewaterhouseCoopers and the National Venture Capital Association. The report counts 657 venture deals worth a total of $4.8 billion, up 17 percent from the second quarter.
We found a similar rise in venture dollars (up 17.5 percent) in our third quarter TechCrunch Trends report. Although, we measured a higher dollar-volume of deals—$7.7 billion in aggregate venture funding across 645 funding rounds. (We also came out yesterday with a ranking of the top 25 most active VC firms).
Does this mean happy days are here again? Well, no, not even close. This is money for Internet-centric companies and clean fuel technologies (with stimulus money tossed in). But my simpleton logic is that if VCs are feeling a little better about specific investments by extension that should spread to related industries.
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