A new report released by CB Insights concluded that deals made by the venture capital groups of major companies fell. According to Crain’s NY Business, NY (5% of deals) lagged behind California (54% of deals) and Massachesetts (24% of deals). Additionally, NY only received six out of 84 corporate VC deals, with 67% of deals and 90% of funds claimed by Internet startups.
This is CB Insights’ first report on 220 corporate VC firms nationwide. Overall, corporate VCs are at a five quarter low, and only invested in 11% of all venture deals, which amounts to $1.09 billion across 84 start ups. CB insights CEO, Anand Sanwal, said to Crain’s that the decline is not a cause for alarm, because corporate VC firms seem to be taking fewer risks across the board. He also noted that it will be very difficult for NY to catch up with California, given the pull of Silicon Valley.
Some of the biggest NY investments included Hearst Media’s contribution to online publisher BuzzFeed ($15 million) and Time Warner’s $12 million investment in social TV app GetGlue.