Like their Silicon Valley
brethren, China's venture capitalists are
bearish about the prospects for entrepreneurial activity, according to a new survey by the University of San Francisco. For the third quarter, USF's China Venture Capitalist Confidence Index fell to
its
lowest reading in the 3.5 years it's been kept (worth noting that the "index" is more of a casual tracking poll, given that it's based on an October survey of only 14 VCs on the Mainland and in Hong Kong.)
The main reason Chinese VCs are blue: No exits. "The
global economic depression, especially the decline of the capital
markets, will influence the exits of local VC investment in the short
term," says Matrix Partners' David Zhang in a statement.
True that. Of course, such gloom won't stop major VC players from continuing to invest in China, where cleantech, Internet and software firms are blooming fast. To that end, Intel Capital on Tuesday announced
three investments in the country,
including a $20 million round for Trony Solar Holdings Co. Ltd., a
maker of thin-film solar energy technology.
-- Alain SherterSee Oct. 29 press release on USF's Chinese VC surveySee Oct. 15 post on plunging VC confidence from Tech ConfidentialSee Oct. 29 post on Intel Capital's letter to portfolio companies from Tech Confidential
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