Arab Today, arab today venture funding for startups still surging
Last Updated : GMT 17:46:59
Arab Today, arab today
Arab Today, arab today

Venture funding for startups still surging

Arab Today, arab today

Arab Today, arab today Venture funding for startups still surging

People look at Xiaomi's Mi4i smart phone
Washington - AFP

Investors pumped some $32.5 billion into more than 1,800 venture-backed companies around the world in the past quarter, amid feverish interest in tech startups, a survey showed Thursday.

The report by the research firm CB Insights and the consultancy KPMG suggests the boom in funding for tech firms -- the vast majority of the startups -- shows no signs of abating.

The report said venture investors are hunting for "disruptive technologies and applications" along with new "on-demand" startups -- delivering goods and services ranging from groceries to house cleaning.

"This trend, which escalated with Uber and Airbnb, is now expanding into new verticals and well beyond North America," the report said.

North American firms got the lion's share with some $19 billion spread over 1,100 deals, the report showed. Asia garnered some $10.1 billion, outpacing Europe's $3.2 billion in the April-June period.

The deals have also been getting "fatter" according to the survey, with the average investment for "late-stage" firms at $74 million, and more than 30 investments of over $100 million.

- More 'unicorn' births -

The number of billion-dollar startups or "unicorns" also grew in the quarter, with 24 of these created in the quarter.
Internet and mobile communications startups accounted for 65 percent of all deals in the quarter, and other software firms took in five percent. Other key sectors were health care and consumer products and services.

KPMG's Arik Speier said the boom is being fueled by consumer demands for new services from smartphones.

"The consumer wants everything to be instant these days," he said.

"If you tap your phone you want the transaction done. I am a true believer in on-demand companies that deal with supply and demand and create the platform that connects the two sides of the equation. This momentum will likely continue and expand."

Brian Hughes at KPMG said the availability of private venture capital is helping many startups remain private instead of seeking a stock market listing.

"If you told a company that they could raise almost the same amount of money at the same valuation in a private financing versus a public one there is no question that companies would often choose to stay private longer," Hughes said.
"Staying private gives the company more latitude to do what they need to do to grow their business for the long term."

The high-value startups which are still private include Uber, worth more than $40 billion, Airbnb ($25 billion) and Snapchat ($15 billion). Non-US firms among the unicorns include China's Xiaomi ($46 billion) and drone maker DJI ($10 billion).

Over the first six months of 2015, venture funding amounted to $59.8 billion, poised to overtake the $88.3 billion in 2014, according to the report.

"While many analysts are predicting a slight decrease in venture capital investment in the months ahead, we believe the strength of such fundamental growth drivers have created strong conditions for continued VC investment," the report said.

"Even with a possible slowdown, 2015 is shaping up to be a record year."

 

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today venture funding for startups still surging Arab Today, arab today venture funding for startups still surging

 



Arab Today, arab today
Arab Today, arab today Prepares to present her new collection

GMT 14:29 2017 Monday ,20 February

Prepares to present her new collection
Arab Today, arab today Tourism shows signs of recovery

GMT 09:59 2017 Monday ,20 February

Tourism shows signs of recovery
Arab Today, arab today Sarah Belamesh designs antiques of "ceramic"

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"
Arab Today, arab today 11 family members dead in rebel push

GMT 07:57 2017 Tuesday ,21 February

11 family members dead in rebel push
Arab Today, arab today To probe sexual harassment claims

GMT 10:08 2017 Tuesday ,21 February

To probe sexual harassment claims
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today 57 monkeys carrying 'invasive' genes

GMT 16:00 2017 Tuesday ,21 February

57 monkeys carrying 'invasive' genes
Arab Today, arab today 63-Year-Old Woman Delivers Baby

GMT 12:35 2017 Tuesday ,21 February

63-Year-Old Woman Delivers Baby
Arab Today, arab today Small ponds have outsized impact

GMT 15:53 2017 Tuesday ,21 February

Small ponds have outsized impact
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today Nissan enhances sales in most markets

GMT 14:08 2017 Monday ,20 February

Nissan enhances sales in most markets
Arab Today, arab today Competes Sweden and Germans by S90

GMT 22:36 2017 Thursday ,16 February

Competes Sweden and Germans by S90
Arab Today, arab today Ahmed Fahmy stresses he did not ignore singing

GMT 06:34 2017 Sunday ,19 February

Ahmed Fahmy stresses he did not ignore singing
Arab Today, arab today London to tax old cars

GMT 14:06 2017 Friday ,17 February

London to tax old cars

GMT 21:11 2017 Saturday ,18 February

Egypt to hold first session of Arab film festival

GMT 06:50 2017 Wednesday ,15 February

Tragic fluctuations of Bakhtiari's life revealed

GMT 19:10 2017 Friday ,17 February

Hats, scarves add beauty to women

GMT 20:41 2017 Wednesday ,15 February

Teach monkeys to recognize themselves in mirror

GMT 23:29 2017 Thursday ,16 February

Home built on sand castles-style costs $8m

GMT 14:51 2017 Monday ,20 February

Ways to acquire presentation skills

GMT 19:16 2017 Friday ,17 February

Aziz House ready to host the tourists

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 12:39 2017 Monday ,20 February

newest smartphone another winner for Huawei

GMT 13:16 2017 Tuesday ,14 February

First fashion model with Down syndrome
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday