In the first quarter of 2008, venture capitalists in the United States invested more than $7.7 billion in startup companies. In the first quarter of 2009, startup companies in the U.S. only received $3 billion — or a total drop of more than 60%.
Venture capitalists investments haven’t been this low in the first quarter of a year in more than a decade. This report, which was produced by Thomas Reuters, National Venture Capital Association and PriceWaterhouseCoopers, was made public on Saturday.
For those in the startup business world, now is not the time to rely on venture capitalists supplying your needed …read more

A new story in the Mercury News is saying that the recession is thwarting the growth of new startups in the Silicon Valley.
Since venture capitalist need to focus on putting money back in their portfolios, they have less to invest.  The result: less IPOs and other startups.
According to the article, there have been just four venture-backed IPOs nationwide in 2008, much less than expected.
So what does this mean to you?  Will you be affected by a lack of VC?
(Photo courtesy of Shannon Cherry of Be Heard Solutions.com)