Mobile and telecom enjoys increased VC

Mobile and telecom enjoys increased VC

The mobile market continues to attract venture capital financing in 3Q05, according to PricewaterhouseCoopers, Thomson Venture Economics and the National Venture Capital Association. About $1bn VC financing has been injected in 114 companies in the nine first months, vs $1.1bn in 2004 in 135 companies. More generally, telecom companies collected $1.6bn in financing during the nine months, of which $605m in 65 companies in 3Q05. The telecom turmoil seems well finished and the sector should finish 2005 with its highest VC amount for the past three years. No doubt that confidence in the telecom sector is back again (look also increased numbers of IPOs, big acquisitions and mergers, and deals), with mobile alone attracting about 2/3 of the money.