Change my location 
|
|
Article History There are updates to this article.
WASHINGTON (Map, News) - Software was the most popular focus of venture capitalists investing in the Washington region during the last three months of 2007.
Twenty-two investments were made in local software companies, totaling $154.4 million.
The biggest deal was for $26.5 million, with three companies investing in McLean computer software company Avectra Inc.
The data comes from the MoneyTree report for the fourth quarter, produced by PricewaterhouseCoopers and the National Venture Capital Association.
Other big deals included a $24.3 million investment in Hillcrest Laboratory, a Rockville software firm, and $20.1 million in DigitalBridge Communications Corp. of Ashburn, a telecom company focused on the Internet.
Overall, venture capitalists put in $403.9 million in 71 area companies during the fourth quarter; during 2007 overall, there were 207 deals totaling $1.24 billion. In 2006, investments totaled $1.14 billion.
Nationally, venture capitalists invested $29.4 billion in 3,813 deals throughout the year, with $7 billion in 963 deals occurring during the fourth quarter.
Most of the investments nationally came in the areas of clean technology and the life sciences, according to the report.
Looking ahead to 2008, venture capitalists aren’t predicting the troubled economy will have a dramatic impact on investment.
“We think there will be some effect on IT spending,” said Deepak Kamra, a general partner with Canaan Partners. “Most venture-backed companies don’t have a lot of debt, so they’re not directly affected by the credit crunch, but their customers are.
“Banks and financial service companies may be less inclined to spend money on IT services,” he added.
For Internet companies, that trend may be offset by more advertising and commerce dollars going online rather than to print, Kamra said.
melissa.frederick@dcexaminer.com
 Not ranked |
 EMAIL ME THIS STORY |
ARTICLE HISTORY 
Comments from Examiner Readers
12:51 PM MST on Fri., Jul. 6, 2007 re: "Sinclair duo wins Emmys for promo spots"
Report as inappropriate
Examiner Reader said:
Love the free commercial for SBG. The Examiner and SBG: Kindred spirits.
232 agree | 153 disagree
Vote on this comment: I agree or I disagree