Venture Capital Investment Market Introduction and Overview
According to SPER Market Research, the Global Venture Capital Investment Market is estimated to reach USD 1547.37 billion by 2033 with a CAGR of 20.34%.
The report includes an in-depth analysis of the Global Venture Capital Investment Market, including market size and trends, product mix, distribution channels, and supplier analysis. Venture capital investment is a form of private equity funding aimed at providing capital to companies in need, whether for initial establishment or expansion. This type of investment can occur at an earlier stage, even during the idea phase, where venture capitalists support entrepreneurs with promising business concepts. Typically managed by private equity funds, venture capital projects encompass various specialized portfolios. For example, a fund specializing in artificial intelligence might invest in ten venture capital projects centered around fully autonomous vehicles.
- 2021: The global venture capital market witnessed a remarkable year in 2021. Abundant available capital, along with the participation of non-traditional investors and a significant increase in exit activities, led to a surge in venture capital investments across various industries. However, larger organizations that demonstrated stronger performance managed to raise more substantial funds during this period.
Market Opportunities and Challenges
- Opportunities:
- Emerging Technologies: For venture capitalists looking to profit from disruptive developments, the rise of transformative technologies like artificial intelligence, blockchain, biotechnology, and sustainable energy presents lucrative investment prospects.
- Startup Ecosystem Growth: A wide range of investment opportunities are created by the rising number of startups in a variety of industries, particularly in those that are seeing rapid growth and innovation.
- Challenges:
- Foreign exchange volatility: When corporations engage in cross-border transactions using foreign currencies, they face transaction risks due to potential fluctuations in exchange rates. For instance, a Canadian corporation doing business in China is exposed to foreign exchange risks when dealing with transactions in Chinese Yuan and reporting in Canadian Dollars. The risk arises from the time gap between the transaction and its settlement, leading to potential losses if the currency rate decreases relative to the dollar. Such transaction risks could impede market growth during the forecast period.
- Risk and Uncertainty: Investments in venture capital are inherently hazardous and have a high failure rate. Investors face hurdles in identifying companies with strong growth potential and managing risks related to new technology, market rivalry, and shifting regulations.
Market Competitive Landscape
Vendors are employing diverse approaches like forming strategic alliances, partnerships, mergers, acquisitions, geographical expansion, and launching new products/services to strengthen their market presence. For instance, Accel, a firm focusing on investments in internet technology and software development industries, is utilizing these strategies to enhance its position in the market. The key players in the Global Venture Capital Investment market include Accel, Andreessen Horowitz, Benchmark, Bessemer Venture Partners, First Round Capital LLC, Founders Fund LLC, Ggv Management L.L.C., Index Ventures, Sequoia Capital Operations LLC, Union Square Ventures LLC, Others.
Scope of the Report:
Report Metric | Details |
Market size available for years | 2019-2033 |
Base year considered | 2022 |
Forecast period | 2023-2033 |
Segments covered | By Funding Type, By Fund Size, By End User
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Regions covered | Asia Pacific, Europe, Middle East and Africa, North America, Latin America
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Companies Covered | Accel, Andreessen Horowitz, Benchmark, Bessemer Venture Partners, First Round Capital LLC, Founders Fund LLC, Ggv Management L.L.C., Index Ventures, Sequoia Capital Operations LLC, Union Square Ventures LLC, Others
|
COVID-19 Impact on Global Venture Capital Investment Market
The COVID-19 pandemic has had far-reaching effects on the global business landscape, including the venture capital investment sector. The outbreak has led to reduced investment activity and increased risk aversion, causing a slowdown in venture capital investments worldwide. The pandemic's effects on portfolio valuations, foreign exchange market volatility, and challenges with existing investments have further weakened the financial performance of SME assets. Delays in Initial Public Offers (IPOs), mergers, and acquisitions have added to the downturn. As a result, seed venture capital investment has dwindled as investors seek more established and mature companies for their investments. The overall impact of the COVID-19 pandemic has been negative on the venture capital investment market.
Key Target Audience
- Diversity-Focused Companies
- Entrepreneurs
- Growth-Stage Companies
- Industry Disruptors
- Research and Development Projects
- Sector-Specific Companies
- Startups and Early-Stage Companies
- Technology Innovators
- Others
Our in-depth analysis of the Venture Capital Investment Market includes the following segments:
By Funding Type:
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First-Time Venture Funding
Follow-on Venture Funding
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By Fund Size:
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Under $50 M
$50 M to $100 M
$100 M to $250 M
$250 M to $500 M
$500 M to $1 B
Above $1 B
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By End User:
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Communications
Computer and Consumer Electronics
Energy
Life Sciences
Others
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Key Topics Covered in the Report
- Global Venture Capital Investment Market Size (FY’2023-FY’2033)
- Overview of Global Venture Capital Investment Market
- Segmentation of Global Venture Capital Investment Market By Funding Type (First-Time Venture Funding, Follow-on Venture Funding)
- Segmentation of Global Venture Capital Investment Market By Fund Size (Under $50 M, $50 M to $100 M, $100 M to $250 M, $250 M to $500 M, $500 M to $1 B, Above $1 B)
- Segmentation of Global Venture Capital Investment Market By End User (Communications, Computer and Consumer Electronics, Energy, Life Sciences, Others)
- Statistical Snap of Global Venture Capital Investment Market
- Expansion Analysis of Global Venture Capital Investment Market
- Problems and Obstacles in Global Venture Capital Investment Market
- Competitive Landscape in the Global Venture Capital Investment Market
- Impact of COVID-19 and Demonetization on Global Venture Capital Investment Market
- Details on Current Investment in Global Venture Capital Investment Market
- Competitive Analysis of Global Venture Capital Investment Market
- Prominent Players in the Global Venture Capital Investment Market
- SWOT Analysis of Global Venture Capital Investment Market
- Global Venture Capital Investment Market Future Outlook and Projections (FY’2023-FY’2033)
- Recommendations from Analyst
1. Introduction
1.1. Scope of the report
1.2. Market segment analysis
2. Research Methodology
2.1. Research data source
2.1.1. Secondary Data
2.1.2. Primary Data
2.1.3. SPER’s internal database
2.1.4. Premium insight from KOL’s
2.2. Market size estimation
2.2.1. Top-down and Bottom-up approach
2.3. Data triangulation
3. Executive Summary
4. Market Dynamics
4.1. Driver, Restraint, Opportunity and Challenges analysis
4.1.1. Drivers
4.1.2. Restraints
4.1.3. Opportunities
4.1.4. Challenges
4.2. COVID-19 Impacts of the Global Venture Capital Investment Market
5. Market variable and outlook
5.1. SWOT Analysis
5.1.1. Strengths
5.1.2. Weaknesses
5.1.3. Opportunities
5.1.4. Threats
5.2. PESTEL Analysis
5.2.1. Political Landscape
5.2.2. Economic Landscape
5.2.3. Social Landscape
5.2.4. Technological Landscape
5.2.5. Environmental Landscape
5.2.6. Legal Landscape
5.3. PORTER’s Five Forces
5.3.1. Bargaining power of suppliers
5.3.2. Bargaining power of buyers
5.3.3. Threat of Substitute
5.3.4. Threat of new entrant
5.3.5. Competitive rivalry
5.4. Heat Map Analysis
6. Competitive Landscape
6.1. Global Venture Capital Investment Market Manufacturing Base Distribution, Sales Area, Product Type
6.2. Mergers & Acquisitions, Partnerships, Product Launch, and Collaboration in Global Venture Capital Investment Market
7. Global Venture Capital Investment Market, By Funding Type (USD Million)
7.1. Global Venture Capital Investment Market Value Share and Forecast, By Funding Type, 2023-2033
7.2. First-Time Venture Funding
7.3. Follow-on Venture Funding
8. Global Venture Capital Investment Market, By Fund Size (USD Million)
8.1. Global Venture Capital Investment Market Value Share and Forecast, By Fund Size, 2023-2033
8.2. Under $50 M
8.3. $50 M to $100 M
8.4. $100 M to $250 M
8.5. $250 M to $500 M
8.6. $500 M to $1 B
8.7. Above $1 B
9. Global Venture Capital Investment Market, By End User (USD Million)
9.1. Global Venture Capital Investment Market Value Share and Forecast, By End User, 2023-2033
9.2. Communications
9.3. Computer and Consumer Electronics
9.4. Energy
9.5. Life Sciences
9.6. Others
10. Global Venture Capital Investment Market Forecast, 2019-2033 (USD Million)
10.1. Global Venture Capital Investment Market Size and Market Share
11. Global Venture Capital Investment Market, By Funding Type, 2019-2033 (USD Million)
11.1. Global Venture Capital Investment Market Size and Market Share By Funding Type (2019-2026)
11.2. Global Venture Capital Investment Market Size and Market Share By Funding Type (2027-2033)
12. Global Venture Capital Investment Market, By Fund Size, 2019-2033 (USD Million)
12.1. Global Venture Capital Investment Market Size and Market Share By Fund Size (2019-2026)
12.2. Global Venture Capital Investment Market Size and Market Share By Fund Size (2027-2033)
13. Global Venture Capital Investment Market, By End User, 2019-2033 (USD Million)
13.1. Global Venture Capital Investment Market Size and Market Share By End User (2019-2026)
13.2. Global Venture Capital Investment Market Size and Market Share By End User (2027-2033)
14. Global Venture Capital Investment Market, By Region, 2019-2033 (USD Million)
14.1. Global Venture Capital Investment Market Size and Market Share By Region (2019-2026)
14.2. Global Venture Capital Investment Market Size and Market Share By Region (2027-2033)
14.3. Asia-Pacific
14.3.1. Australia
14.3.2. China
14.3.3. India
14.3.4. Japan
14.3.5. South Korea
14.3.6. Rest of Asia-Pacific
14.4. Europe
14.4.1. France
14.4.2. Germany
14.4.3. Italy
14.4.4. Spain
14.4.5. United Kingdom
14.4.6. Rest of Europe
14.5. Middle East and Africa
14.5.1. Kingdom of Saudi Arabia
14.5.2. United Arab Emirates
14.5.3. Rest of Middle East & Africa
14.6. North America
14.6.1. Canada
14.6.2. Mexico
14.6.3. United States
14.7. Latin America
14.7.1. Argentina
14.7.2. Brazil
14.7.3. Rest of Latin America
15. Company Profile
15.1. Accel
15.1.1. Company details
15.1.2. Financial outlook
15.1.3. Product summary
15.1.4. Recent developments
15.2. Andreessen Horowitz
15.2.1. Company details
15.2.2. Financial outlook
15.2.3. Product summary
15.2.4. Recent developments
15.3. Benchmark
15.3.1. Company details
15.3.2. Financial outlook
15.3.3. Product summary
15.3.4. Recent developments
15.4. Bessemer Venture Partners
15.4.1. Company details
15.4.2. Financial outlook
15.4.3. Product summary
15.4.4. Recent developments
15.5. First Round Capital LLC
15.5.1. Company details
15.5.2. Financial outlook
15.5.3. Product summary
15.5.4. Recent developments
15.6. Founders Fund LLC
15.6.1. Company details
15.6.2. Financial outlook
15.6.3. Product summary
15.6.4. Recent developments
15.7. Ggv Management L.L.C.
15.7.1. Company details
15.7.2. Financial outlook
15.7.3. Product summary
15.7.4. Recent developments
15.8. Index Ventures
15.8.1. Company details
15.8.2. Financial outlook
15.8.3. Product summary
15.8.4. Recent developments
15.9. Sequoia Capital Operations LLC
15.9.1. Company details
15.9.2. Financial outlook
15.9.3. Product summary
15.9.4. Recent developments
15.10. Union Square Ventures LLC
15.10.1. Company details
15.10.2. Financial outlook
15.10.3. Product summary
15.10.4. Recent developments
15.11. Others
16. List of Abbreviations
17. Reference Links
18. Conclusion
19. Research Scope
SPER Market Research’s methodology uses great emphasis on primary research to ensure that the market intelligence insights are up to date, reliable and accurate. Primary interviews are done with players involved in each phase of a supply chain to analyze the market forecasting. The secondary research method is used to help you fully understand how the future markets and the spending patterns look likes.
The report is based on in-depth qualitative and quantitative analysis of the Product Market. The quantitative analysis involves the application of various projection and sampling techniques. The qualitative analysis involves primary interviews, surveys, and vendor briefings. The data gathered as a result of these processes are validated through experts opinion. Our research methodology entails an ideal mixture of primary and secondary initiatives.