NY Plushev 1 (Photo credit: Wikipedia)
NY currently ranks second, only to Silicon Valley, in the nation for Web companies. However, its startup scene saw a 7.2% decline in the amount of money raised in the second quarter compared to last year. According to the NY Post, the decrease is in part because there was no tech spending in the health-care sector, which tends to attract larger chunks of money. Also, the city’s Internet deals were heavily skewed toward early-stage companies that raise fewer dollars. $500 million flowed to NY startups this quarter, down from $539 million a year ago. $348 million of the $500 million went to internet companies. Despite the loss, NY still saw more comapnies raising money than the one time leader Boston, MA.
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