Last week, Intel Capital announced four new investments which, on a stand alone basis, would be considered by most as "business as usual."  But these investments were significant in that they launched Intel Capital over the $10 billion dollar mark in total investments since inception.  The milestone is incredibly meaningful - for Intel Capital to be certain as it evidences its commitment to funding innovation - but also to the venture industry and the US economy as it underscores the importance of corporate VC to the continued health of the start-up ecosystem.

In the first quarter of 2011, more than 15 percent of all venture capital deals had corporate venture capital participation, up from 14 percent in all of 2010.  Approximately 10 percent of the investment dollars in the first quarter of this year came from corporate VCs as well.  As the venture capital industry continues to contract, the start-up economy needs the corporate contribution in terms of both capital and support.  Corporations such as Intel - and many others -- bring not only dollars to the table but perhaps more importantly expertise, vision, a “built-in” customer base, as well as a keen understanding of the global markets which young companies are striving to access.  In turn, the NVCA Corporate Venture Group continues to expand as more companies are recognizing the value of investment in innovation at the start-up level.  There is tremendous competitive advantage to be had with a seat at the emerging company table across all industries but certainly IT, life sciences and clean technology.   Here at the NVCA we expect to see continued growth in this area of investment as more corporations and start-ups experience the win-win of strategic corporate VC investing -- an experience with which Intel Capital is well familiar. 

If you would like more information on the NVCA's Corporate Venture Group (CVG), please contact me at jmawson@nvca.org.