News Pick – Tech Startup Crowdfunding Isn't All It's Cracked Up to Be – WSJ

crowdfunding

December 7, 2015 – “Allowing everyday Americans to invest in today’s high-growth startups—picture grandma and grandpa putting a portion of their retirement savings into the next pre-IPO Facebook—has long been the dream of advocates of so-called equity crowdfunding. This dream was supposed to be enabled by the Jumpstart Our Business Startups Act… ‘regulated crowdfunding’ is all the pain of an IPO without the IPO” Read full story at WSJ


News Pick – The New Boom in Tech – WSJ

techboom

November 22, 2015 – “$571 billion. The value of tech deals announced this year world-wide, surpassing the highest full-year level on record. This year’s surge in technology deal-making is doing much to erase the dot-com boom from the record books.” Read full article at WSJ


News Pick – Square IPO May Prove to Be Turning Point for Technology Shares – WSJ

sqi

November 19, 2015 “Square Inc.’s initial public stock offering could prove to be a signpost for technology startups that have long been tapping private investors for deals at lofty valuations. The San Francisco payments startup founded by  Twitter Inc. Chief Executive Jack Dorsey jumped 45% in its first day of trading, showing that investors in public markets still crave new tech investments—at the right price. On Wednesday, Square slashed its offering price to $9 a share, putting it millions of dollars below expectations and billions below the value the company was given last year by private investors.” Read full article at WSJ


News Pick – Increasingly Crowded Unicorn Club – CB

uniclub

November 9, 2015 “There are currently 141 unicorn companies globally… 

We looked at all still-private unicorns since 2011 and charted them based on when they first joined the unicorn club. While initially the chart shows unicorns being created at a relatively calm pace, the rhythm accelerates noticeably in late 2013 (right around the time Aileen Lee wrote her famous post coining the term unicorn in November 2013). Since then, there has been an explosion in unicorn creation, with over 60 new unicorns in 2015 alone..” Read full Article at CBInsights


News Pick – Silicon Valley Investors Look North

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October 8, 2015 – “Canada’s big tech companies used to be hardware makers, but that era is over. Nortel, once a telecommunications and networking-equipment giant, is a memory, and BlackBerry’s phones are an endangered species. From 2009, when Nortel filed for bankruptcy protection, to 2014, the year almost half of BlackBerry’s 85 million subscribers abandoned the phones, the size of Canada’s hardware industry fell 20 percent, to 72,100 jobs, according to the country’s statistical agency.
During that time, though, Canadian software took off. The industry grew 23 percent, to 327,400 jobs, from 2009 to 2014. As Canadian software startups have begun to flourish, U.S. venture firms are looking north more often instead of waiting for the companies to come calling on Sand Hill Road. Canadian venture capital has doubled in five years, to $2.4 billion.” Read the full article at Bloomberg


News Pick – Silicon Valley: Inside the winners' circle – FT

threebigJuly 2, 2015 ” ‘As tech groups shy away from IPOs, the wealth created goes only to those with the right access’ … ‘By staying private, there is no need to waste time on sweating over quarterly earnings reports. “In public markets, you can lose the long-term view to focus on the short term,’ says Mr Lin. And with investors lining up to pour cash into companies like Credit Karma, which has sucked in nearly $370m so far, the pressure to conform to Wall Street is off. ‘You can still raise the dollars in relatively short order, and still have the benefits of being a private company.’ ” Read the full article at FT


News Pick – Why This Tech Bubble is Less Scary – WSJ

bublJuly 1, 2015 “Is tech in a bubble? I think so. The signs are all around us. The good news is, it’s nothing like the last one. Plus, for reasons that go beyond the usual impossibilities of economic prognostication, no one can say for sure what’s going on. Many people seem to find this reassuring, but we would be wise to heed the lesson that a lack of transparency about the mechanics of a market rarely leads anywhere good… Startups are staying private longer than ever… there’s no longer a bright line where a company moves from being a venture-backed startup to, ‘We’re only a public company’ ” Read full article at WSJ


News Pick – Fear of Losing Out Drives Deal Boom – WSJ

M&AJune 30, 2015 “Companies are merging at a pace unseen in nearly a decade. Halfway through the year, about $2.15 trillion in M&A deals or offers have been announced globally, according to Dealogic. That puts 2015 on pace to challenge the biggest year on record, 2007, when companies inked deals worth $4.3 trillion.” Read the full article at WSJ


News Pick – How Automation is Shaking Up the Advertising Industry – G&M

networkJun 29, 2015 “As anyone with a computer or a smartphone knows, advertising is everywhere online. How ads are bought, displayed, tracked and sold is critical to just about every player on the Internet, from giants like Facebook and Google to the smallest publisher. And that process is going through a revolution that is already having sweeping implications, from how ads are targeted to consumers, to what safeguards are needed to prevent fraud… It is comparable to a stock market, though instead of trading shares, these markets trade digital ad space, or impressions.” – Read full article at G&M