Welcome!

Mobile IoT Authors: Liz McMillan, Peter Silva, Talend Inc., Sanjay Uppal, Pat Romanski

News Feed Item

Global Investor Confidence in US Soars for Third Straight Year, According to 2014 Global Venture Capital Confidence Survey

Research validates that venture capital fundraising and IPOs are on the rise, with favorable investment outlooks continuing in cloud computing and mobile technology

NEW YORK, Aug. 13, 2014 /PRNewswire/ -- Global investor confidence in the United States significantly increased for the third year in a row, driven by a combination of favorable capital markets, abundant investment opportunities in innovative companies and a strong investor climate, according to the 2014 Global Venture Capital Confidence Survey from Deloitte and the National Venture Capital Association. Moreover, global investor confidence also increased in the United Kingdom, Israel and Canada, but continued to decline in Brazil, China and India, according to the survey.

www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting." border="0" alt="As used in this document, "Deloitte" means Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting." align="middle" src="http://photos.prnewswire.com/prnvar/20120803/MM52028LOGO-a"/>

Conducted in May and June of 2014, the 10th annual survey, gauged confidence levels of more than 300 venture capital, private equity and growth equity investors in the Americas, Europe, Asia and Africa, assessing investor confidence on the global venture capital environment, market factors shaping industries, and investments in specific geographies and industry sectors. Confidence levels were measured on a scale of 1 to 5, with a score of 5 representing the most confidence.

"For the past three years the U.S. has seen a significant increase in investor confidence, continuing the trend which began to take hold in 2012," said Jim Atwell, national managing partner of the Emerging Growth Company practice, Deloitte & Touche LLP. "Improving capital market conditions lifted the pace of initial public offerings, fed by a strong lineup of new and innovative companies like we see on the Technology Fast 500TM list, along with increased investor confidence both in the ability to fundraise as well as to achieve favorable returns on investment."

Venture capital fundraising has been picking up steam in recent quarters with U.S. venture capital firms having raised $7.4 billion in new commitments from 78 funds during the second quarter of 2014, according to Thomson Reuters and the NVCA. A 24 percent increase compared to the number of funds raised during the first quarter, marks the strongest quarter for the number of funds raised since the fourth quarter of 2007.

Venture capitalists invested $29.5 billion in 3,382 companies in 2013, according to the NVCA Yearbook. Software was the leading sector, receiving 37.3 percent of total dollars followed by biotechnology, which was less than half the amount at 15.4 percent of total investment. Among first fundings, software led the way with 591 companies getting their initial venture capital rounds, more than 46 percent of all first fundings.

In line with this, the survey found that global investors continued to invest and expressed the greatest enthusiasm for information technology-related sectors that are less capital intensive, particularly  technology, mobile and cloud computing. At the same time, sectors requiring more capital intensive spends including hardware and semiconductors were viewed as the least favorable sectors.

"Continued confidence from global investors in the U.S. is welcome news for American innovators building next generation companies," said Bobby Franklin, president and CEO of NVCA. "In order to maintain this enthusiasm in U.S. innovation, policymakers in Washington need to come together to enact policies that support the creation of sustainable, high-growth companies that create jobs and drive economic growth." 

Global investor confidence grows in the U.S., Israel and Canada, but declines in Brazil, India and China
U.S. respondents' outlook on investing in U.S. opportunities again increased in 2014, scoring an average of 4.17 (up 41 basis points from 2013), according to the survey. At the same time U.S. confidence in the global capital markets grew, rising from 2.70 in 2013 to 2.99 in 2014.

Emerging markets again continued to decline among global investors. When asked about confidence in investing in a particular country, participants rated Brazil at 3.13, down 42 basis points from 2012, China at 3.27, down 18 basis points from 2012 and India at 3.08, down 16 basis points from 2012.

Cloud computing and mobile remain at the top of investor confidence for the second year in a row
For the second year in a row, U.S. venture capital investors named cloud computing (4.29) as the area they were most confident investing in followed very closely by mobile technology (4.28), enterprise software (4.00) and health care IT and services (3.87). Moreover, U.S. investors exhibited the least confidence in energy/clean technologies (2.47) and semiconductors (2.33).

Global venture capital investors showed the greatest confidence in cloud computing (4.11), mobile (4.02), and health care IT and services (3.94). This group showed the least confidence for investments in hardware (2.83) and semiconductors (2.76). The U.S. (4.28) and China (4.20) were most confident in mobile, while Brazil showed the highest confidence in cloud computing (4.31) and health care IT services (4.44). Robotics showed the biggest year-over-year increase up 43 basis points to 3.41

Overall confidence about the global economy increased 33 basis points from the prior year to a score of 3.20. A majority of investors – 55 percent – expressed a neutral sentiment about global economic prospects. Among U.S.-based participants, confidence in the global economy scored 2.96 (up 19 basis points from 2013).

U.S. confidence in domestic government continues to decline
Across the globe, the U.S. maintained its position as the best country to invest in, rating 4.03, trailed by Israel (3.71), Canada (3.48) and Germany (3.38). However, continuing the trend from last year's survey, U.S.-based respondents continue to doubt government's ability to enact policies that support domestic venture capital, private equity and growth equity investment in the coming year, with confidence in government policymaking dropping from a collective 2.17 in 2013 to the lowest among the countries surveyed (2.05) in this year's survey.

"A global environment where capital flows to companies from creation to growth to exit depends, in part, on government policies that encourage investment in new ideas and provide a clear pathway for innovations to go to market," said Scott Sandell, general partner of New Enterprise Associates and chairman of NVCA. "Decreased confidence in government drives capital away from economies, and if more isn't done to improve the U.S. policymaking process, we could lose our foothold as the preeminent destination for innovation investment.  The venture capital community will continue to look toward global economies where governments are committed to fostering the growth of innovation."

Confidence of respondents from 11 other countries in their government's support ranged from very high to very low, averaging a 3, but all of them had higher confidence levels than the U.S. respondents. The highest confidence levels of investors in their home government's ability to help domestic venture capitalists via incentives, policy and legislation were for India (3.83), China (3.63) and Japan (3.58).

For more information and the full 2014 Global Venture Capital Confidence Survey please visit: www.deloitte.com/us/2014vcsurvey. Connect with us on Twitter: @DeloitteTMT and @nvca.

About Deloitte's Emerging Growth Company (EGC) Practice
Deloitte's emerging growth company practice works with innovative high-growth companies on their way to becoming the next generation of market leaders. Through our multidisciplinary approach focused on quality, our team of dedicated professionals understands the challenges that venture capital-backed companies face and offers a broad perspective on emerging issues, leading practices and industry trends. Our extensive IPO experience, across all industries, along with our experienced professionals, enables us to deliver insights that others may have missed. The practice is also home to Tech Venture Centers (TVC) in Waltham, MA and McLean, VA. The Centers are designed to create communities of leading service providers, addressing the needs of emerging, high-growth IPO bound companies and the venture capital community. For more information, please contact [email protected] or visit www.deloitte.com/us/egc.

As used in this document, "Deloitte" means Deloitte LLP and its subsidiaries.  Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries.  Certain services may not be available to attest clients under the rules and regulations of public accounting.

About NVCA
Venture capitalists are committed to funding America's most innovative entrepreneurs, working closely with them to transform breakthrough ideas into emerging growth companies that drive U.S. job creation and economic growth. As the voice of the U.S. venture capital community, the National Venture Capital Association empowers its members and the entrepreneurs they fund by advocating for policies that encourage innovation and reward long-term investment. As the venture community's preeminent trade association, NVCA serves as the definitive resource for venture capital data and unites its 400 plus members through a full range of professional services. For more information about the NVCA, please visit www.nvca.org.

Logo - http://photos.prnewswire.com/prnh/20120803/MM52028LOGO-a

SOURCE Deloitte

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
SYS-CON Events announced today that iDevices®, the preeminent brand in the connected home industry, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. iDevices, the preeminent brand in the connected home industry, has a growing line of HomeKit-enabled products available at the largest retailers worldwide. Through the “Designed with iDevices” co-development program and its custom-built IoT Cloud Infrastruc...
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies adopt disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2015 at the Javits Center in New York, New York. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advanced analytics, and DevO...
With an estimated 50 billion devices connected to the Internet by 2020, several industries will begin to expand their capabilities for retaining end point data at the edge to better utilize the range of data types and sheer volume of M2M data generated by the Internet of Things. In his session at @ThingsExpo, Don DeLoach, CEO and President of Infobright, will discuss the infrastructures businesses will need to implement to handle this explosion of data by providing specific use cases for filte...
Fortunately, meaningful and tangible business cases for IoT are plentiful in a broad array of industries and vertical markets. These range from simple warranty cost reduction for capital intensive assets, to minimizing downtime for vital business tools, to creating feedback loops improving product design, to improving and enhancing enterprise customer experiences. All of these business cases, which will be briefly explored in this session, hinge on cost effectively extracting relevant data from ...
SYS-CON Events announced today that VAI, a leading ERP software provider, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. VAI (Vormittag Associates, Inc.) is a leading independent mid-market ERP software developer renowned for its flexible solutions and ability to automate critical business functions for the distribution, manufacturing, specialty retail and service sectors. An IBM Premier Business Part...
SYS-CON Events announced today that Alert Logic, Inc., the leading provider of Security-as-a-Service solutions for the cloud, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Alert Logic, Inc., provides Security-as-a-Service for on-premises, cloud, and hybrid infrastructures, delivering deep security insight and continuous protection for customers at a lower cost than traditional security solutions. Ful...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2015 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 ad...
As enterprises work to take advantage of Big Data technologies, they frequently become distracted by product-level decisions. In most new Big Data builds this approach is completely counter-productive: it presupposes tools that may not be a fit for development teams, forces IT to take on the burden of evaluating and maintaining unfamiliar technology, and represents a major up-front expense. In his session at @BigDataExpo at @ThingsExpo, Andrew Warfield, CTO and Co-Founder of Coho Data, will dis...
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 18th International Cloud Expo, which will take place on June 7–9, 2016, at the Javits Center in New York City, NY, and the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management...
The cloud promises new levels of agility and cost-savings for Big Data, data warehousing and analytics. But it’s challenging to understand all the options – from IaaS and PaaS to newer services like HaaS (Hadoop as a Service) and BDaaS (Big Data as a Service). In her session at @BigDataExpo at @ThingsExpo, Hannah Smalltree, a director at Cazena, will provide an educational overview of emerging “as-a-service” options for Big Data in the cloud. This is critical background for IT and data profes...
With the Apple Watch making its way onto wrists all over the world, it’s only a matter of time before it becomes a staple in the workplace. In fact, Forrester reported that 68 percent of technology and business decision-makers characterize wearables as a top priority for 2015. Recognizing their business value early on, FinancialForce.com was the first to bring ERP to wearables, helping streamline communication across front and back office functions. In his session at @ThingsExpo, Kevin Roberts...
SYS-CON Events announced today that Fusion, a leading provider of cloud services, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Fusion, a leading provider of integrated cloud solutions to small, medium and large businesses, is the industry's single source for the cloud. Fusion's advanced, proprietary cloud service platform enables the integration of leading edge solutions in the cloud, including clou...
Most people haven’t heard the word, “gamification,” even though they probably, and perhaps unwittingly, participate in it every day. Gamification is “the process of adding games or game-like elements to something (as a task) so as to encourage participation.” Further, gamification is about bringing game mechanics – rules, constructs, processes, and methods – into the real world in an effort to engage people. In his session at @ThingsExpo, Robert Endo, owner and engagement manager of Intrepid D...
Eighty percent of a data scientist’s time is spent gathering and cleaning up data, and 80% of all data is unstructured and almost never analyzed. Cognitive computing, in combination with Big Data, is changing the equation by creating data reservoirs and using natural language processing to enable analysis of unstructured data sources. This is impacting every aspect of the analytics profession from how data is mined (and by whom) to how it is delivered. This is not some futuristic vision: it's ha...
WebRTC has had a real tough three or four years, and so have those working with it. Only a few short years ago, the development world were excited about WebRTC and proclaiming how awesome it was. You might have played with the technology a couple of years ago, only to find the extra infrastructure requirements were painful to implement and poorly documented. This probably left a bitter taste in your mouth, especially when things went wrong.
Learn how IoT, cloud, social networks and last but not least, humans, can be integrated into a seamless integration of cooperative organisms both cybernetic and biological. This has been enabled by recent advances in IoT device capabilities, messaging frameworks, presence and collaboration services, where devices can share information and make independent and human assisted decisions based upon social status from other entities. In his session at @ThingsExpo, Michael Heydt, founder of Seamless...
The IoT's basic concept of collecting data from as many sources possible to drive better decision making, create process innovation and realize additional revenue has been in use at large enterprises with deep pockets for decades. So what has changed? In his session at @ThingsExpo, Prasanna Sivaramakrishnan, Solutions Architect at Red Hat, discussed the impact commodity hardware, ubiquitous connectivity, and innovations in open source software are having on the connected universe of people, thi...
WebRTC: together these advances have created a perfect storm of technologies that are disrupting and transforming classic communications models and ecosystems. In his session at WebRTC Summit, Cary Bran, VP of Innovation and New Ventures at Plantronics and PLT Labs, provided an overview of this technological shift, including associated business and consumer communications impacts, and opportunities it may enable, complement or entirely transform.
There are so many tools and techniques for data analytics that even for a data scientist the choices, possible systems, and even the types of data can be daunting. In his session at @ThingsExpo, Chris Harrold, Global CTO for Big Data Solutions for EMC Corporation, showed how to perform a simple, but meaningful analysis of social sentiment data using freely available tools that take only minutes to download and install. Participants received the download information, scripts, and complete end-t...
For manufacturers, the Internet of Things (IoT) represents a jumping-off point for innovation, jobs, and revenue creation. But to adequately seize the opportunity, manufacturers must design devices that are interconnected, can continually sense their environment and process huge amounts of data. As a first step, manufacturers must embrace a new product development ecosystem in order to support these products.