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Venture capital investment is growing faster outside the US

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Re: Venture capital investment is growing faster outside the US

#2
I'm not sure the data supports this conclusion that "America is losing its edge."

VC funding continues to rise as a whole, and the declining share of US VC invested vs. rest of the world is just a trend of a broader portfolio growth from international startups. That would be just lazy statistics - e.g. if I go from 1 US city to 3 US cities + 3 UK cities, I have growth in VC funding as a whole, as well in the US, but the US goes from 100% to 50%.

VC funding is growing faster in other parts of the world? Well when you're denominator is 0, or really low, of course growth "rate" is going to be high by definition. It's not really apples-to-apples. Further, I don't see whether or not the US has hit diminishing returns, yet, from this article, or if US growth is still healthy.

The data on China, though, is intriguing - maybe someone else here more informed than I am could speak to that.

Re: Venture capital investment is growing faster outside the US

#3
This article seems like bunk fear mongering to me. It talks about everything in terms of percentages of investment, percentages of companies and growth rates: cherry picked statistics that seem to be intentionally misrepresenting reality. The global economy is not zero-sum. Other countries growing their startup scenes is a good thing (with a notable exception around those doing it with heavy IP theft) and should be celebrated, not spun into fear of the US losing out. Let the US worry about whether it's healthy and growing, not fret about whether others are.

Re: Venture capital investment is growing faster outside the US

#4
I buy the data. I don't buy the conclusion.

America blazed the trail. Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success? No. Entrepreneurs around the world have been watching, and they've been inspired to create movements in their own cities. Governments have been watching, and they're inspired to support their entrepreneurs. The rest of the world woke up and that's a good thing for the world.

Also what's with comparing America with an aggregate of the rest of the world? That alone shows how far and away America is that we need to make bad faith comparisons like that.

Here's an example from the article:

> While it is true that venture-capital investment in the U.S. continues to rise, having reached more than $90 billion in 2017, such investment is growing even faster in other parts of the world, expanding by nearly 375 percent — more than twice the 160-percent increase here.

Re: Venture capital investment is growing faster outside the US

#5

I buy the data. I don't buy the conclusion. America blazed the trail. Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success? No. Entrepreneurs around the world have been watching, and they've been inspired to create movements in their own cities. Governments have been watching, and they're inspired to support their entrepreneurs. The rest of the world woke up and t…

> Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success?

I think Europe will. When it comes to business, they tend to eat their young.

Re: Venture capital investment is growing faster outside the US

#6
post #5

I buy the data. I don't buy the conclusion. America blazed the trail. Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success? No. Entrepreneurs around the world have been watching, and they've been inspired to create movements in their own cities. Governments have been watching, and they're inspired to support their entrepreneurs. The rest of the world woke up and t…

> Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success? I think Europe will. When it comes to business, they tend to eat their young.

What do you mean by eating the young?

Re: Venture capital investment is growing faster outside the US

#7
post #3

This article seems like bunk fear mongering to me. It talks about everything in terms of percentages of investment, percentages of companies and growth rates: cherry picked statistics that seem to be intentionally misrepresenting reality. The global economy is not zero-sum. Other countries growing their startup scenes is a good thing (with a notable exception around those doing it with heavy IP theft) and should be c…

A rising tide lifts all boats.

Re: Venture capital investment is growing faster outside the US

#8
post #6
post #5

Earlier quoted context omitted.

> Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success? I think Europe will. When it comes to business, they tend to eat their young.

What do you mean by eating the young?

Highly regulated environments are heavily biased toward huge and/or old companies because regulation is a regressive corporate tax.

Re: Venture capital investment is growing faster outside the US

#9
post #6
post #5

Earlier quoted context omitted.

> Do you think the rest of the world is simply going to sit idly on the sidelines after watching the success? I think Europe will. When it comes to business, they tend to eat their young.

What do you mean by eating the young?

Cost of entry is too high for new players
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