That was the sentiment of panelists at the Dow Jones Private Equity Analyst Conference in New York on Tuesday, discussing whether returns from billion dollar social media companies like Facebook, Groupon, Twitter and Zynga can save the venture industry.
Valuations have climbed. The public markets have deadbolted the door. The number of prospective corporate acquirers who can shell out ten figures are few. Yet, investors have shown they’re willing to write early-stage checks in the tens of millions to test a thesis. Fail. Test a different thesis. And do it all over again because costs to build consumer Internet companies are a fraction of what was required for dot-com trailblazers of the first boom.
To read the full, original article click on this link: Taking Early-Stage Chances Still A Cheap Bet, VCs Say - Venture Capital Dispatch - WSJ
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