Q3 U.S. Venture Capital Investment Down 7%

According to a recent MoneyTree Report released from PwC and the National Venture Capital Association, venture capitalists put $7.7 billion into 1,033 deals in Q3 2008, a decrease of 7% from the quarter before.

Investment in biotech and medical device companies rose 10%, while funding for clean technology startups increased 14%. Venture investment for internet-based companies fell 36%, however some of this decline can be attributed to the fact that web companies today have become more capital efficient thus burning less upfront cash (also many “me too” copycat web ideas are no longer finding funding).

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