In Q2 2010, the Big Three States for VC (Cali, Mass and NY) represented 65% of venture deals and 70% of funding. Venture capital activity in Q3 2010 saw the Big Three retain their dominance of deals and dollars, but their overall share of venture deals and dollars declined versus the prior quarter.
Washington and Texas gained marginally on a deals and dollars basis. Washington has seen a steady increase in funding and a more dramatic increase in dealflow. Texas saw dealflow levels stay consistent but funding dollars up on strength in Energy & Utilities and Healthcare.
The five quarter trend by state on a deals and dollars basis is given below.