VC Roundup: Investments down overall, up in Los Angeles, San Diego and Seattle

National venture capital investments fell by 10% last year, according to figures released on January 18th by PricewaterhouseCoopers and the National Venture Capital Association. Meanwhile, with its large number of tech startups, Los Angeles has seen VC investments increase 13% from $1.1 billion in 2011 to $1.3 billion in 2012, the Los Angeles Business Journal reported.
Mark Sogomian of Ernst & Young LLP said the combination of big investments made in 2010 and 2011 and a slow market for mergers and acquisitions have lead to a decline in investments last year.
The San Diego Union Tribune reported that venture capital funding also went up in San Diego, surpassing $1 billion for the first time since 2008. A Dow Jones and Ernst & Young report showed that medical device and biotech firms alone raised $669 million last year, as opposed to $ 516 million in 2011.
With a 69% increase over the state’s total venture funding in 2011, Washington companies attracted $931.5 million in 2012.
“We had a pretty solid year, given all the uncertainties and the ups and downs in the economy,” Greg Beams of Ernst & Young told the Seattle Times. Software, IT services and biotech were cited as the strong sectors in Washington, whereas pullbacks in seed and cleantech investments were noted.