The amount of tech investment around the world soared by more than 90% from 2013 to 2014. In 2014, startups in 56 countries secured a share of the $39.8 billions capital that was invested globally. Although we don’t have the data to determine whether this is a trend, some very interesting and arguably unexpected points of comparison between regions and countries come out of this infographic.
In 2014, tech investment around the world amounted to an average of $9.1m per deal for the 4355 deals recorded. There are some varying discrepancies on a regional and country basis though. While it comes at probably no surprise that the United States dominated tech investment around the world as businesses based there secured 69% of the total capital invested and had more than 60% of all the deals. In line with the global average per deal, the capital invested per deal was at $9.8m. The sheer size of some of the deals for companies like Uber will explain the jump in amount invested as they received more than $3bn in 2014.
As a sharp contrast, while European based businesses secured 21% of all the deals in 2014, they received less than 10% of all the capital invested globally. This is clearly reflected by the fact that the average per investment deal in Europe was $3.6m, less than half the global average. One bright spot in Europe was Germany as the average that businesses received per deal there was $8m.
In stark comparison to Europe, businesses based in Asia secured nearly 20% of all the capital for tech investment around the world with only 9% of the total number of investment deals, which lead to an average of $19.8m per deal. A particular standout in Asia is China as the businesses there had 75 deals at an average of nearly $55m each.
In India and Brazil the average deal amount was also over the global average with nearly $30m and $11m, respectively. Aside from the United States, the only country with a developed economy to be above the global average was Australia, where each deal there secured an average of $13m.
Based off where tech investment around the world went in 2014, there are a few conclusions we can make. Firstly, it’s evident that being a business in need of funding in the United States has clear advantages. Secondly, while the average per deal in Europe is low, the sheer number of deals, standing at 906 in 2014, would indicate that investment is available for considerably larger number of businesses than in other parts of the world, particularly Asia. And finally, while the number of deals secured across the Asian continent may be low, the deals secured there are typically of higher value.