DLA Piper (a large law firm that serves the tech industry) just released a survey they did of VCs and found some nasty trends:
• 66% of technology companies indicated they are reducing revenue forecasts
• Nearly 50% of VC firm respondents believe the current financial crisis is worse than the tech bubble crash of 2000
• More than half of respondents (55%) believe the stagnant IPO market will not begin to rebound until 2010 or later
There’s a lot of other interesting findings in the survey, I’ll try to get more. This afternoon I’m visiting Foundation Capital (they are funding cleantech companies, which DLA says is one of the bright spots) and will get their take on the economy.
Why do these surveys matter? They are human beings and if they think this financial crisis is worse than the tech bubble crash of 2000 they will be changing their behavior (IE, making it tougher for entrepreneurs to get funded).
In other news the market is up and leading indicators are positive for the first time in months.