VCs Supporting Video Ad Startups at Young Age, Early Stage
October 1, 2012
Digital video advertising is huge, and more small companies are popping up to vie for their slice of the ad tech pie, judging by an increase in early-stage activity over the last several years. Amidst stronger years in between, 2009 was not a good year of venture funding for video ad startups, and this year hasn't been so great either. However, there's a silver lining here: only 35% of the deals in 2009 went to early-stage companies, but this year the majority of financing has been early stage, pointing to healthy investor interest in up-and-coming companies. According to the PitchBook Platform, video advertising companies have completed 20 VC financings in 2012 to date. In this time period, 55% of the deal activity has been at the early stage, with another 15% going to seed-stage startups such as Virool (Y Combinator summer 2012 class) and ThriveHive (founded in 2011), which both raised funding in July.
