mark bowles presentation on the san diego startup ecosystem
TRANSCRIPT
San Diego’s VC Reality…
• Limited Local VC Capital … for now• Challenging to get out-of-town VCs to come to San Diego, but
not impossible• VCs typically DO NOT hunt here, they must be pursued• But.. SD valuations, deal competition, and engineering talent
are attractive relative to the Bay Area • Once a VC does a deal in SD, they often pursue others• Don’t despair…
San Diego Venture Funding 2015
2015 Totals Life Sciences – 52% of annual dollars invested
Life Sciences – 47% of deals funded
Q1 Q2 Q3 Q4 2015 TOTAL
Total Venture Capital Investment
19 deals 23 deals 30 deals 27 deals 99 deals
$270M $141M $280M $334M > $1B
Life Sciences
10 deals 13 deals 15 deals
$60M $200M $193M
Source: VentureSource
San Diego Ranks 6th in the World in Total VC Investment
Source: City Lab http://www.citylab.com/tech/2016/01/the-rise-of-global-startup-cities/426780/
Rank Metro VC Investment (M) % Global VC Investment
1 San Francisco $6,471 15.40%2 San Jose $4,175 9.90%3 Boston $3,144 7.50%4 New York $2,106 5.00%5 Los Angeles $1,450 3.40%6 San Diego $1,410 3.30%7 London $842 2.00%8 Washington $835 2.00%9 Beijing $758 1.80%
10 Seattle $727 1.70%11 Chicago $688 1.60%12 Toronto $628 1.50%13 Austin $626 1.50%14 Shanghai $510 1.20%15 Mumbai $497 1.20%16 Paris $449 1.10%17 Bangalore $419 1.00%18 Philadelphia $413 1.00%19 Phoenix $325 0.80%20 Moscow $318 0.80%
Top 20 Total $26,790 63.60%Total – All Metros $42,121 100.00%
San Diego Ranks 5th in the World in VC Investment Per Capita
Source: City Lab http://www.citylab.com/tech/2016/01/the-rise-of-global-startup-cities/426780/
Rank Metro VC Investment per Capita1 San Jose $2,146
2 San Francisco $1,415
3 Boston $665
4 Durham, NC $475
5 San Diego $4346 Austin $323
7 Seattle $198
8 Washington, D.C. $138
9 Jacksonville $120
10 Los Angeles $110
11 New York $105
12 Toronto $104
13 Salt Lake City $102
14 Madison, WI $100
15 Greensboro, NC $97
16 New Haven, Connecticut $93
17 Denver $90
18 Oxnard, California $89
19 Providence, Rhode Island $80
20 Phoenix $73
San Diego Ranks 9th in the World in Total Companies Funded
Source: Dow Jones Venture
Rank Metro # Companies Amount Invested1 San Francisco, Oakland, CA 797 $21 B
2 New York, NY, NJ, PA 416 $7 B
3 Boston, MA-NH 348 $5.6 B
4 San Jose, Santa Clara, CA 321 $6.2 B
5 Los Angeles 240 $4.5 B
6 Seattle, Tacoma 95 $1.2 B
7 Washington, DC, VA, MD 93 $923 M
8 Philadelphia, PA, NJ, DE 93 $516 M
9 San Diego 83 $1.2 B10 Pittsburgh, PA 83 $200 M
11 Chicago, IL 81 $1.1 B
12 Austin, TX 78 $740 M
13 Atlanta, GA 58 $836 M
14 Denver, CO 41 $540 M
15 Baltimore, MD 37 $445 M
16 Nashville, TN 34 $135 M
17 Portland, OR-WA 32 $161 M
18 St. Louis, MO-IL 30 $254 M
19 Minneapolis, MN-WI 28 $369 M
20 Boulder, CO 27 $231 M
And the U.S. VC Engine has Rarely Been Stronger
Year/Quarter Number of Funds Venture Capital ($M)
2006 236 31,107.6
2007 235 29,993.7
2008 214 25,054.9
2009 162 16,103.8
2010 176 13,283.6
2011 192 19,080.5
2012 218 19,904.9
2013 209 17,753.4
2014 271 31,094.4
2015 235 28,151.7
4Q’14 85 6,205.61Q’15 69 7,537.8
2Q’15 81 11,081.7
3Q’15 61 4,562.54Q’15 46 4,974.1
$28B invested in startups by VCs across the US in 2015
From a Global Perspective, SD is a Great Place to be Seeking Capital
Source: City Lab http://www.citylab.com/tech/2016/01/the-rise-of-global-startup-cities/426780/
The SD Startup Ecosystem
LOCAL VC/ PLEDGE FUNDS
ANGEL GROUPSINCUBATORS /
ACCELERATORS
COWORKING SPACES
SUPPORT / NETWORKINGONLINE RESOURCES
UNIVERSITY ORGANIZATIONS
LAW FIRM RESOURCES
Local VC / Pledge FundsQualcomm Ventures — qualcommventures.comIllumina — illumina.comAvalon — avalon-ventures.comDomain Associates — domainvc.comTVC — tvccapital.comJMI Equity — jmi.comCorrelation Ventures — correlationvc.com Analytics Ventures — analyticsventures.comMoore VC — moorevp.comAxon VC — axonvc.comForward Ventures — forwardventures.com/portfolio.htmlBlackbird Ventures / Neil Senturia — blackbirdv.comVentures 51 — venture51.comCWC HealthTech Ventures — cwchealthtech.comBootstrap Ventures — bootstrapincubation.comBiomed Ventures — biomedrealty.comAlexandria Ventures — are.comFinistere Ventures — finistere.comMesa Verde Ventures — mesaverdevp.comTao Venture Partners — taovp.comBiocom — www.biocom.org
VC Firms with Partners in San Diego
• NEA• HealthQuest Ventures• Sofinnova Ventures• Pappas Ventures• August Capital• Telegraph Hill Capital• Athenian Venture
Partners• Laterell Venture Partners• Orbimed Advisors
Angel Groups
Tech Coast Angels (TCA) — techcoastangels.com
Seed San Diego — angel.co/seed-san-diego
Incubators / Accelerators
EvoNexus — evonexus.orgJLabs / Janssen Labs — janssenlabs.comHera Labs — hera-labs.comLa Jolla Institute — sandiegouniontribune.com/news/2015/dec/10/hardtech-la-jolla-institute Plug and Play San Diego — sandiego.plugandplaytechcenter.comWest Health Incubator — westhealth.org Bio, Tech and Beyond — biotechnbeyond.comAnsir — ansirsd.com FabLab — fablabsd.orgBootStrap Incubation — bootstrapincubation.com
Co-Working Spaces
The VineSD — thevine.irvinecompany.com/san-diegoCyberHive — cyberhivesandiego.orgAnsir Innovation Center — ansirsd.comDeskHub — deskhub.comOutsite.co — outsite.co/san-diego Collective 1939 — collective1939.strikingly.comReal Office Centers (ROC) — realofficecenters.com/sandiegoCo-Merge — co-merge.com3rd Space — 3rdspace.co
Community & Networking Organizations
San Diego Venture Group — sdvg.org MIT Enterprise Forum San Diego — mitefsd.orgCONNECT — connect.org Start-up Leadership Program (SLP) — startupleadership.com/chapters/sandiego San Diego Sports Innovators — sdsportinnovators.orgFounder Institute — fi.co/s/san_diego SDSIC / TechSanDiego — techsandiego.org Startup San Diego — startupsd.org Startup Week San Diego — sandiegostartupweek.comCleantech San Diego — cleantechsandiego.org San Diego Startup Weekend — sandiego.startupweekend.orgEntrepreneur Organization, San Diego — eonetwork.org/sandiegoSD Tech Scene — sdtechscene.orgSD Tech Founders — sdtechfounders.comCooley Go — cooleygo.comAthena — athenasd.org/programs
University Organizations
UCSD StartR — rady.ucsd.edu/ciid/startrVon Liebig Center — jacobsschool.ucsd.edu/vonliebigMyStartupXX — rady.ucsd.edu/ciid/mystartupxxThe Basement — ucsdbasement.com
SDSU Zahn — newscenter.sdsu.edu/gra/zahncenterLavin — lavincenter.sdsu.edu
USDSocial Innovation Challenge – sandiegosocialinnovation.org
A Couple Others to Know
Xconomy, Bruce Bigelow — xconomy.com
I.D.E.A District: Innovation, Design, Education, Arts — ideadistrictsd.com
Law Firm Resources
Cooley (Cooley University)DLA PiperMintz Levin (Mintz Edge)ProcopioGundersenSheppard MullinMorrison Forester Wilson SonsiniFoleyLathamFisher
Map of SD Entrepreneur Resources
Incubators & AcceleratorsCo-Working Spaces