In the very first scene of HBO’s “Silicon Valley,” Big Head complains, “Money [is] flying all over Silicon Valley, but none of it ever seems to hit us.”
Well, Big Head, it might be time for a move to Ann Arbor, Raleigh, or Atlanta.
America’s VC landscape is shifting. Literally.
According to a new Crunchbase report, ~$161.5B of venture capital flowed into US companies in 2020.
What’s not surprising: California, Massachusetts, and New York made up 73.1% of that total, with California alone grabbing 52.2%.
Here’s what might surprise you: 14 states — including Colorado, Minnesota, and Washington — saw at least $1.5B in VC funding in 2020. Only 6 attracted that much in 2016.
With tech talent increasing and spreading across the country, secondary markets are getting hot (we previously covered VC funding in the midwest).
Especially for wolverines, tar heels, and peaches
VC growth in Michigan, North Carolina, and Georgia is on fire. Between 2016 and 2020:
- Michigan saw venture funding spike ~886% to $3.1B
- North Carolina saw it jump ~410% to $4.1B
- Georgia’s grew 142%+ to $2B
Some VCs are specifically focusing on entrepreneurial regions that don’t already have a TV show about them, like Panoramic with its new $300m fund.
Who knows, soon we might see a show about startups in Ann Arbor called Wolverine Den.
Get the 5-minute roundup you’ll actually read in your inbox
Business and tech news in 5 minutes or less