TLDR:
VC funding figures for 2023 show a six-year low in the US and a 39% annual fall in Europe. The decline is driven by a pullback by non-conventional venture investors due to high-interest rates, plummeting valuations, and a faltering economy. As a new year begins, VCs have the opportunity to step up, get back to basics, and remember what they do best. Technological advancement accelerates during times of macroeconomic uncertainty, and VCs are vital in driving innovation and economic growth. They must take risks, adapt investment strategies, and support startups that can address emerging market needs. VCs provide valuable mentorship and resources to help founders pivot and adapt. It’s time for a return to VC craftsmanship to demonstrate its continued vital contribution to resilience and economic recovery.
