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Useful Stats: State Shares of U.S. Venture Capital Dollars and Deals, 2010-2014

August 07, 2014

In an SSTI Digest article last month, SSTI detailed the most recent MoneyTree reports from National Venture Capital Association (NVCA) and PricewaterhouseCoopers (PWC). Halfway through FY 2014, U.S. venture capital investments reached $22.7 billion, the highest first-half total since 2001. Using halves of fiscal years as the unit of analysis, this Digest article examines each state’s share of venture capital dollars and deals since 2010. Since Q1 2010, nearly $109 billion has been allocated to companies across 17,292 deals.

Between 2010 and 2014, both venture capital dollars and deals were primarily concentrated within a few states. Most notably, California firms were the recipient of 40.8 percent of the nation’s total deals and 52.6 percent of the nation’s total venture capital dollars. Massachusetts companies received 10.1 percent of total deals and 10.7 percent of total dollars, while New York received 9.1 percent of total deals and 7.7 percent of total dollars. No other state received more than five percent of either dollars or deals. Texas, Washington, and Illinois were the only states to receive more than 2 percent of both dollars and deals. Pennsylvania, whose 802 venture capital deals were the fifth most (4.6 percent) between 2010 and 2014, received just 1.8 percent of all available venture capital dollars.

Since 2010, about 80 percent of the nation’s venture capital deals have gone to the top 10 states. An even higher proportion of the nation’s venture capital dollars have gone towards the top 10. In the first half of 2014 over 90 percent of the nation’s nearly $23 billion in venture capital dollars went to just 10 states. Table 1 shows the proportion of venture capital deals and dollars that were allocated to the highest ranked 10 states.

Table 1: Percentage of Deals and Dollars to Top 10 States

Year Percentage of Deals to Top 10 States Percentage of Dollars to Top 10 States
2010 (Total) 79.4% 81.2%
2011 (Total) 79.4% 87.0%
2012 (Total) 82.2% 87.8%
2013 (Total) 80.1% 86.4%
2014 (First Half) 81.2% 90.3%

SSTI has prepared tables showing the distribution of each state’s share U.S. venture capital dollars and share of venture deals for each half-year since 2010.

Using half-fiscal years as a unit of analysis allows for an easier identification of the ebbs and flows of the venture capital process over the five-year period. The second half of 2010 had the fewest number of venture capital deals and dollars over the period. This was also the half in which California had considerably fewer deals and dollars compared to other halves and the only half in which Massachusetts’ companies raised less than $1 billion in venture capital.

The 2,183 deals in the second half of 2013 were the most of any fiscal half, while the  nearly $23 billion raised nationwide in the first half of 2014 was considerably more than any other half, and almost $10 billion more than what was raised in the first half of 2013. Every state was able to garner at least one deal during the analyzed time frame, with 30 states raising at least $100 million. 

Table 2: Percentage of U.S. Venture Capital Dollars by State, 2010-2014

  Q1+Q2 2010 Q3+Q4 2010 Q1+Q2 2011 Q3+Q4 2011 Q1+Q2 2012 Q3+Q4 2012 Q1+Q2 2013 Q3+Q4 2013 Q1+Q2 2014 Total (2010-2014)
STATE  Share of VC $ Share of VC $ Share of VC $ Share of VC $ Share of VC $ Share of VC $ Share of VC $ Share of VC $ Share of VC $ Share of VC $
AL 0.0% 0.0% 0.0% 0.0% 0.1% 0.1% 0.0% 0.0% 0.0% 0.0%
AR 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.6% 0.0% 0.0% 0.1%
AZ 0.4% 0.4% 1.5% 0.2% 0.6% 1.1% 0.1% 0.6% 0.4% 0.6%
CA 51.7% 48.6% 49.7% 52.4% 55.4% 49.9% 49.3% 50.8% 60.1% 52.6%
CO 1.2% 3.0% 2.0% 2.4% 2.2% 2.1% 1.4% 1.6% 1.2% 1.8%
CT 1.3% 0.6% 0.5% 0.4% 0.6% 0.5% 0.5% 0.9% 1.4% 0.8%
DC 0.4% 0.6% 0.0% 0.3% 0.3% 0.1% 1.3% 0.7% 0.5% 0.5%
DE 0.2% 0.1% 0.1% 0.1% 0.0% 0.1% 0.5% 0.0% 0.0% 0.1%
FL 1.2% 0.7% 1.3% 0.7% 1.0% 0.5% 1.4% 1.4% 0.8% 1.0%
GA 1.3% 1.5% 1.5% 0.9% 0.7% 1.2% 2.4% 0.5% 1.2% 1.2%
HI 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
IA 0.0% 0.9% 0.2% 0.0% 0.0% 0.0% 0.2% 0.0% 0.0% 0.1%
ID 0.0% 0.1% 0.0% 0.0% 0.1% 0.1% 0.0% 0.0% 0.0% 0.0%
IL 2.2% 3.1% 3.7% 1.0% 2.2% 2.2% 0.6% 2.2% 1.9% 2.1%
IN 0.2% 0.5% 0.9% 0.3% 0.2% 0.4% 0.2% 0.0% 0.1% 0.3%
KS 0.1% 0.3% 0.3% 0.2% 0.1% 0.3% 0.1% 0.2% 0.1% 0.2%
KY 0.0% 0.1% 0.0% 0.0% 0.0% 0.2% 0.0% 0.1% 0.0% 0.0%
LA 0.1% 0.0% 0.1% 0.1% 0.0% 0.1% 0.1% 0.0% 0.0% 0.0%
MA 11.7% 9.2% 11.3% 9.6% 11.4% 13.2% 10.9% 10.3% 9.2% 10.7%
MD 1.6% 1.9% 1.1% 0.9% 1.2% 1.8% 3.4% 1.2% 0.6% 1.4%
ME 0.0% 0.0% 0.0% 0.2% 0.0% 0.1% 0.1% 0.1% 0.1% 0.1%
MI 0.7% 0.6% 0.1% 0.5% 0.6% 1.2% 0.2% 0.5% 0.7% 0.6%
MN 0.6% 0.7% 0.9% 1.0% 1.0% 0.8% 0.5% 1.3% 0.8% 0.9%
MO 0.4% 0.1% 0.2% 0.7% 0.1% 0.1% 0.3% 0.2% 0.4% 0.3%
MS 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
MT 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
NC 2.1% 2.4% 1.5% 0.8% 0.4% 1.0% 0.9% 0.9% 0.4% 1.0%
ND 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.1% 0.1% 0.0% 0.0%
NE 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
NH 0.3% 0.2% 0.4% 0.3% 0.2% 0.2% 0.5% 0.2% 0.1% 0.3%
NJ 2.5% 1.5% 1.8% 2.0% 1.0% 2.0% 1.9% 0.4% 0.5% 1.4%
NM 0.1% 0.0% 0.1% 0.4% 0.1% 0.1% 0.2% 0.0% 0.0% 0.1%
NV 0.2% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.1% 0.1% 0.1%
NY 5.6% 6.5% 7.4% 8.7% 6.1% 7.8% 7.8% 10.5% 7.8% 7.7%
OH 0.4% 1.2% 0.9% 0.5% 1.3% 0.7% 0.7% 1.0% 0.4% 0.8%
OK 0.1% 0.0% 0.2% 0.0% 0.1% 0.2% 0.0% 0.0% 0.0% 0.1%
OR 0.9% 0.8% 0.5% 1.2% 0.3% 0.7% 0.7% 0.3% 0.5% 0.6%
PA 2.1% 2.6% 1.9% 1.8% 1.8% 2.0% 1.7% 1.5% 1.7% 1.8%
PR 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
RI 0.2% 0.3% 0.0% 0.3% 0.1% 0.5% 0.4% 0.2% 0.2% 0.2%
SC 0.1% 0.1% 0.1% 0.1% 0.1% 0.2% 0.2% 0.4% 0.2% 0.2%
SD 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.1% 0.0% 0.0% 0.0%
TN 0.4% 0.2% 0.2% 0.6% 0.3% 0.4% 0.3% 0.4% 0.2% 0.3%
TX 3.5% 5.5% 3.8% 6.5% 4.4% 2.8% 5.5% 3.7% 3.1% 4.2%
UT 0.7% 0.6% 0.8% 0.7% 0.8% 1.5% 0.9% 1.2% 1.6% 1.0%
VA 1.8% 1.7% 2.5% 1.8% 1.4% 0.6% 1.2% 2.7% 1.0% 1.6%
VT 0.1% 0.1% 0.1% 0.1% 0.0% 0.0% 0.1% 0.1% 0.1% 0.1%
WA 2.7% 2.9% 1.8% 2.0% 3.2% 2.9% 2.4% 3.7% 2.3% 2.7%
WI 0.8% 0.2% 0.3% 0.2% 0.2% 0.4% 0.2% 0.0% 0.2% 0.3%
WV 0.0% 0.0% 0.0% 0.0% 0.1% 0.0% 0.0% 0.0% 0.0% 0.0%
WY 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

 

 

Table 3: Percentage of U.S. Venture Capital Deals by State, 2010-2014

  Q1+Q2 2010 Q3+Q4 2010 Q1+Q2 2011 Q3+Q4 2011 Q1+Q2 2012 Q3+Q4 2012 Q1+Q2 2013 Q3+Q4 2013 Q1+Q2 2014 Total (2010-2014)
STATE  Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals Share of VC Deals
AL 0.1% 0.1% 0.0% 0.1% 0.2% 0.1% 0.0% 0.2% 0.0% 0.1%
AR 0.0% 0.1% 0.0% 0.1% 0.1% 0.0% 0.2% 0.0% 0.1% 0.1%
AZ 0.5% 0.5% 0.9% 0.4% 0.7% 0.3% 0.6% 0.6% 0.7% 0.6%
CA 40.7% 38.9% 40.1% 40.3% 42.0% 41.5% 42.4% 38.3% 42.5% 40.8%
CO 2.2% 2.8% 2.3% 3.0% 2.8% 2.6% 2.1% 1.9% 2.0% 2.4%
CT 1.7% 1.6% 1.8% 1.2% 1.3% 1.2% 1.5% 1.1% 1.4% 1.4%
DC 0.3% 0.5% 0.2% 0.5% 0.7% 0.6% 1.1% 0.6% 0.8% 0.6%
DE 0.2% 0.2% 0.3% 0.2% 0.1% 0.2% 0.2% 0.1% 0.1% 0.2%
FL 1.3% 1.2% 1.3% 1.2% 0.9% 0.9% 1.4% 1.1% 1.2% 1.2%
GA 1.9% 1.9% 1.7% 1.3% 1.5% 1.2% 1.0% 1.0% 1.5% 1.4%
HI 0.2% 0.1% 0.1% 0.1% 0.1% 0.1% 0.0% 0.1% 0.1% 0.1%
IA 0.1% 0.1% 0.1% 0.1% 0.1% 0.0% 0.1% 0.0% 0.0% 0.1%
ID 0.1% 0.2% 0.1% 0.0% 0.1% 0.1% 0.0% 0.1% 0.1% 0.1%
IL 1.8% 2.1% 3.1% 1.7% 2.0% 2.3% 1.9% 2.6% 2.4% 2.2%
IN 0.4% 0.6% 0.6% 0.2% 0.4% 0.5% 0.6% 0.2% 0.4% 0.4%
KS 0.8% 1.3% 1.2% 1.6% 0.2% 0.4% 0.2% 0.3% 0.2% 0.7%
KY 0.4% 0.5% 0.2% 0.1% 0.1% 0.3% 0.2% 0.1% 0.1% 0.2%
LA 0.2% 0.0% 0.2% 0.3% 0.0% 0.2% 0.3% 0.1% 0.0% 0.1%
MA 10.4% 10.7% 10.1% 10.7% 11.3% 10.8% 8.8% 9.4% 9.4% 10.1%
MD 2.5% 1.7% 2.1% 1.9% 1.3% 1.8% 1.4% 2.2% 1.8% 1.9%
ME 0.1% 0.2% 0.2% 0.2% 0.2% 0.1% 0.2% 0.0% 0.2% 0.1%
MI 0.8% 1.0% 0.9% 0.7% 1.1% 1.4% 1.5% 2.1% 1.2% 1.2%
MN 0.8% 0.8% 1.1% 1.4% 0.7% 0.9% 0.7% 1.2% 0.9% 0.9%
MO 0.5% 0.3% 0.7% 0.5% 0.2% 0.4% 0.8% 1.0% 0.9% 0.6%
MS 0.0% 0.0% 0.0% 0.0% 0.1% 0.0% 0.1% 0.0% 0.0% 0.0%
MT 0.1% 0.0% 0.1% 0.0% 0.2% 0.1% 0.0% 0.0% 0.0% 0.1%
NC 1.8% 1.9% 1.2% 1.3% 0.7% 1.0% 1.0% 1.4% 1.0% 1.3%
ND 0.0% 0.0% 0.0% 0.1% 0.1% 0.0% 0.1% 0.1% 0.0% 0.0%
NE 0.0% 0.2% 0.0% 0.0% 0.1% 0.1% 0.1% 0.3% 0.3% 0.1%
NH 0.3% 0.2% 0.5% 0.5% 0.2% 0.2% 0.6% 0.4% 0.2% 0.3%
NJ 2.6% 1.7% 1.8% 1.8% 1.7% 1.1% 1.2% 0.9% 0.5% 1.4%
NM 0.3% 0.3% 0.2% 0.2% 0.3% 0.4% 0.6% 0.3% 0.2% 0.3%
NV 0.2% 0.1% 0.2% 0.0% 0.1% 0.2% 0.2% 0.1% 0.2% 0.1%
NY 7.7% 8.3% 7.9% 8.9% 8.9% 9.0% 9.3% 10.7% 10.2% 9.1%
OH 1.4% 1.9% 1.8% 1.4% 1.8% 1.3% 2.0% 1.9% 1.6% 1.7%
OK 0.2% 0.0% 0.1% 0.1% 0.2% 0.1% 0.2% 0.2% 0.2% 0.1%
OR 1.0% 0.9% 0.7% 1.4% 1.0% 0.6% 1.0% 0.8% 0.5% 0.9%
PA 4.3% 4.8% 3.5% 4.5% 4.5% 5.2% 5.6% 5.7% 3.6% 4.6%
PR 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%
RI 0.3% 0.3% 0.2% 0.5% 0.3% 0.5% 0.5% 0.2% 0.3% 0.3%
SC 0.3% 0.2% 0.1% 0.1% 0.1% 0.1% 0.1% 0.6% 0.2% 0.2%
SD 0.0% 0.0% 0.1% 0.0% 0.1% 0.0% 0.1% 0.0% 0.0% 0.0%
TN 0.8% 0.6% 0.9% 0.8% 1.0% 0.8% 1.3% 1.2% 1.1% 1.0%
TX 4.0% 5.1% 4.4% 4.0% 4.6% 4.0% 3.4% 4.3% 4.2% 4.2%
UT 0.8% 0.7% 1.1% 1.3% 0.9% 1.4% 0.9% 0.8% 0.9% 1.0%
VA 1.7% 1.5% 2.1% 1.9% 2.3% 1.8% 0.9% 2.1% 2.4% 1.9%
VT 0.2% 0.2% 0.3% 0.1% 0.2% 0.0% 0.3% 0.2% 0.4% 0.2%
WA 3.5% 3.0% 3.0% 3.2% 2.8% 2.9% 3.3% 3.0% 2.8% 3.0%
WI 0.6% 0.5% 0.6% 0.2% 0.4% 0.3% 0.5% 0.4% 0.7% 0.5%
WV 0.1% 0.2% 0.1% 0.1% 0.1% 0.1% 0.0% 0.0% 0.1% 0.1%
WY 0.1% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0%

 

useful stats, venture capitalFile 080814.xlsx