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(EMAILWIRE.COM, August 24, 2013 ) San Francisco, CA -- VC’s in 11 out of 13 countries worldwide had less confidence in social networking and new media sectors than last year, according to a survey conducted by the National Venture Capital Association titled “Global Venture Capital Confidence Survey”.
The dip in confidence was more dramatic in the US than any other country, with VCÂ’s ten percent less sure about social media than they were last year. This yearÂ’s survey took place in May and June 2013 and 35 percent of the responses came from investors in the United States.
The authors noted that there are a lot of interesting outcomes from the survey. For instance, VCs losing interest in social media mirrors the trend that the social media bubble is quietly deflating. In fact, the latest NVCA report shows that confidence is still high in social media compared to other sectors, despite the drop in confidence.
Social Media will not die out all of a sudden, and it wonÂ’t disappear anytime soon, but itÂ’s not what VCs are looking to invest in first. CBInsights, a research company that studies VC investment trends, recently found that social media only got two percent of VC Internet funding.
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Source: EmailWire.com
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