Although everyone from Wall Street to the ivy-covered halls of academia knows it, now the numbers confirm it-1999 was a banner year for venture capital. According to two reports in February 2000, venture capital amounts and the number of recipients both significantly increased.
According to Price-waterhouse-Coopers annual Money Tree Survey, 4,006 companies (a 41 percent jump over 1998 figures) together snagged $35.6 billion in VC financing. The other study, conducted by Venture Economics, a division of Newark, New Jersey-based research company Thomson Financial Securities Data, and the National Venture Capital Association, reported that 3,649 firms (up 25.6 percent) together obtained $48.3 billion in investments. Although the results differ, the reports agreed on the percentage that industry activities increased over 1998-about 150 percent.