Venture Capital Survey Suggests Confidence in Cloud & Mobile

Each year, the Global Venture Capital Conference takes a survey which measures the confidence that investors have in certain sectors. Of the top 14 sectors, cloud received the most confidence and mobile received the second most ballots. This survey loosely measures where venture capitalists are currently investing there money. Since cloud and mobile received higher preference over investments such as healthcare IT, enterprise software and robotics, cloud and mobile can be anointed kings of the VC Mountain.

The survey was conducted by National Venture Capital Association and IT consulting firm Deloitte. Jim Atwell, a national management partner for Deloitte, commented on the survey’s findings by mentioning, “It’s very positive results on the market overall, and very positive on tech.”

The report questioned over 300 decision makers involved with venture capital. The questions on the survey revolved around confidence in certain sectors and current market conditions. For the third year in a row, Deloitte and NVCA mention that investor confidence seems to have grown. Jim Atwell goes on to say, “Tech companies are the sectors that have the most confidence the most excitement around them.”

Out of all of the technical startups, why cloud? “It’s the low cost of capital to build a product and the ability to license it over and over again. It’s a business model that’s very attractive to the industry,” answers Atwell.

The survey asked respondents to rate each individual sector in terms of confidence using a scale from 1-5. Out of all of the respondents, cloud topped all other sectors in market confidence according to venture capitalists. Cloud received 4.11 out of 5 while mobile lagged behind slightly at 4.02 of 5.  It is important to note that out the top 7 categories in which investors displayed confidence, 6 of those 7 were related to information technology type of endeavors.