Long gone are the days of 10,000x percent profits for venture capitalists, according to a recent article written by FEI US keynote James Surowiecki on Technology Review. Although this has been an ongoing trend for quite some time, venture capitalists are still pouring in billions of dollars into new start-ups in hope of a burst. The article also references economists like Paul Ferri who told the Wall Street Journal in 2006 that the industry does not now have "an economically viable business model" and also Howard Anderson, Yankee Group founder, who mentioned "good-bye to venture capital."
Seems like venture capital has fallen, but will we see a shift in how venture capitalists are investing their money?
Make sure to check out James Surowiecki's keynote speech Success through Synergy:
The Wisdom of Crowds at the Front End of Innovation Conference in Boston May 3-5. Hope to see you all there!