WSJ: Europe Falls Behind Silicon Valley In VC Deal Flow

WSJ: Europe Falls Behind Silicon Valley In VC Deal Flow

Instead, it’s because Europe’s venture capital scene is rapidly shrinking. Some firms have recoiled or pulled out of venture capital completely, like Europe’s largest investor, 3i Group, did this year to focus solely on growth equity and buyouts.

In the second quarter, Europe’s deals fell for the fourth consecutive quarter to 156, or 24% below the first quarter, while investment dropped 31% quarter-to-quarter to EUR619.7 million ($880.6 million), less than half the amount in the San Francisco Bay area.