VC and entrepreneurship are heading for destruction.

Absrtact: May 30 News, Israeli famous venture capital Giza chairman and Chief Executive Officer Khozman (Zeev Holtzman) to attend the meeting, said: "Israel's VC and entrepreneurial industry is heading for destruction." Last year, Israel VC financing almost zero, this year slightly better, Pi

May 30 News, Israeli famous venture capital Giza chairman and Chief Executive Officer Khozman (Zeev Holtzman), said: "Israel's VC and entrepreneurial industry is heading for destruction." ”

Last year, Israeli VC financing almost zero, this year slightly better, Pitango financing 352 million U.S. dollars: But the overall situation is still miserable.

According to the amount of Nasdaq listed companies in a certain capital, Israel is a well-deserved "innovation kingdom", why is this situation happening?

One reason is that Israeli start-ups have long tended to specialize in areas such as security, semiconductors and networking equipment, which require a lot of capital and are increasingly unsuitable for small companies to enter.

Another reason: In the past decade, as elsewhere, VC companies have become too big and too fast, and their returns have been low for the dotcom bubble. The Israeli market is small, and when VC winds reverse, it affects Israel much more than the EU and the US.

Still, there is a bright side to the Israeli venture, which is seen as a starting point for the consumer Internet. Facebook has just bought an Israeli company with 70 million dollars. Myancestry, for example, is a rapidly growing genealogy site that beats Silicon Valley companies and Geni.

Consumer Internet not only looks good, it is also more capital effect, is the source of innovation. (Park)