VCs open pockets for health, but neglect IT

VCs open pockets for health, but neglect IT

Venture capitalists pumped eight percent more into companies during the first quarter, but all the action came in healthcare.

Venture capitalists gave 16 percent less to companies in the IT industry, however — they invested less money into software, semiconductors and Internet infrastructure companies. Web 2.0 companies, however, appear to have drawn more money than ever. See table below. Web 2.0 companies are part of the “Information services” category, which saw $722 million, up from $659… Continue Reading

Heathcare venture funding surges in first quarter

Heathcare venture funding surges in first quarter

Biotechnology and medical-device venture investment soared in the first quarter as funding for information technology and other sectors declined, according to data compiled by Ernst & Young and Dow Jones VentureOne.

Overall venture funding for U.S. companies rose 8% in the quarter, compared to the same period last year. Biotech firms pulled in a record $1.8 billion, more than double what the industry raised a year earlier. Funding for medical-device companies rose 55% to $953 million…. Continue Reading