Sep 04
Corporate Venture Capital in an Upswing
Corporations like Google and Cisco and spending a increased amount of their cash reserves on start-ups in the US and abroad. Moreoever, in contrast to the corporate VC activity of the late 1990s, they are taking a longer-term view:
Intel has restructured its fund to emphasize financial returns and is investing in follow-up rounds in its portfolio companies—something it didn’t do before. “There’s no strategic value unless each individual investment is successful,” says Intel Capital President Arvind Sodhani. “A bankrupt company is not very strategically valuable to Intel—or to anybody for that matter.”
