One thought on “Seed-Stage Investments Jump Sharply in Q2 2010”

  1. Om,

    Great post and interesting stats about seed-stage investing. We’ve been talking about the Seed VC phenomena for some time and have been speculating that Seed VC may be the new Series A. Liz’s post to this end highlighted some of our early work on this area: http://gigaom.com/2010/06/07/seed-deals-account-for-26-of-early-stage-web-investments/

    The CB Insights’ Q2 2010 Venture Capital report issued a few days ago highlighted the seed trend along with a few other things which maybe of interest.

    We found that early stage deals represent almost 42% of VC deals in the quarter (but only 18% of funding) indicating a trend we’ve been seeing for some time that VCs are doing more small deals. Seed VC has been a driver of this.

    Internet investments hits a five quarter high with ecommerce in particular on track to exceed the investment levels seen during the heyday, e.g. 1999-2000.

    We also saw decreasing geographic diversity for VC dollars and deals with Cali, Mass and NY taking 70% of money and 65% of deals. California on its own was over 50% of financing solidifying the state’s dominance of the VC industry.

    For those interested in a very data-driven perspective on the Q2 2010 VC funding landscape, our 50 page downloadable report (it’s free) featuring trends, data and analytics on the quarter is available here:

    http://www.cbinsights.com/blog/venture-capital/q2-2010-venture-capital-activity-5-9-billion-invested-over-612-deals

    Hope this data-driven perspective may be useful/interesting.

    Best,
    Anand

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