Investors Enthusiastic about Cloud, Mobile, Enterprise Software - Survey Shows

The recently released findings of the 9th annual Global Venture Capital Confidence Survey show that global investors are increasingly becoming confident about technology investments, including cloud, mobile, enterprise software, and health care IT - all of which are areas of interest for channel partners.

The study from Deloitte LLP and the National Venture Capital Association reveals that on a scale of one to five, with five indicating the highest confidence level, U.S. venture capital investors favored cloud computing as their top pick with a score of 4.06. Investing in mobile technologies scored 3.99, enterprise software was 3.74, and health care IT and services was 3.57. The lowest confidence rating was 1.92 for investment in clean energy and green technologies, while investing in semiconductors, including electronics, was rated 2.34 by domestic investors.

Global investors see mobile as the best technology investment with a confidence score of 4.04. It is followed by investments in cloud computing at 4.03 and enterprise software at 3.69. The lowest investment confidence was in semiconductors (2.53) and hardware (2.59).

Survey respondents consisted of more than 400 venture capital, private equity, and growth equity investors in the Americas, Asia Pacific, Europe, and Israel.

The study also finds that global investor confidence increased in the United States in 2012 but waned in Brazil, China, India, and other emerging markets.

"After years of enthusiasm for emerging markets, investor sentiment is increasing favorably towards the United States in an environment where venture capitalists remain cautious about the global economy and pessimistic about government policies around investing," said James Atwell, national managing partner of the Emerging Growth Company Practice at Deloitte. "Uncertainty continues to be the primary concern for investors."

According to the survey respondents, the challenges that led to their increased enthusiasm for investing in the U.S. and the shift away from emerging markets include legal and policy restrictions, infrastructure, and growing pains associated with emerging markets.

"Here in the United States, many venture capital firms are turning inward where tremendous investment opportunity exists in their own backyard," said Mark Heesen, president of the National Venture Capital Association. "After a decade of VCs kicking the tires abroad, global investing remains the strategy of fewer firms that have the resources and wherewithal to successfully manage an international portfolio. Although we remain challenged here in the U.S. from a political and capital markets perspective, our issues are familiar and addressable - and optimism is expected to increase throughout the year." (KOM) Link. Link.