{"id":19672,"date":"2023-05-24T16:30:43","date_gmt":"2023-05-24T16:30:43","guid":{"rendered":"https:\/\/entertainment.runfyers.com\/index.php\/2023\/05\/24\/why-arent-venture-capitalists-flocking-to-fund-cybersecurity-startups\/"},"modified":"2023-05-24T16:30:43","modified_gmt":"2023-05-24T16:30:43","slug":"why-arent-venture-capitalists-flocking-to-fund-cybersecurity-startups","status":"publish","type":"post","link":"https:\/\/entertainment.runfyers.com\/index.php\/2023\/05\/24\/why-arent-venture-capitalists-flocking-to-fund-cybersecurity-startups\/","title":{"rendered":"Why aren&#8217;t venture capitalists flocking to fund cybersecurity startups?"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div id=\"\">\n<div class=\"article__featured-image-wrapper breakout\">\n\t\t\t\n\t\t<\/div>\n<\/p><\/div>\n<div>\n<p id=\"speakable-summary\"><span class=\"featured__span-first-words\">On the back<\/span> of pretty strong earnings reports and valuations, public cybersecurity companies are outperforming the broader technology segment. Yet, funding for cybersecurity startups has flatlined.<\/p>\n<hr\/>\n<p style=\"text-align: center;\"><strong><em>The Exchange explores startups, markets and money. <\/em><\/strong><\/p>\n<p style=\"text-align: center;\"><strong><em>Read it <a href=\"https:\/\/techcrunch.com\/subscribe\/?tpcc=theexchange\" target=\"_blank\" rel=\"noopener\">every morning on TechCrunch+<\/a> or get <a href=\"https:\/\/techcrunch.com\/newsletters\/?utm_source=internal&amp;utm_medium=WPunit\" target=\"_blank\" rel=\"noopener\">The Exchange newsletter<\/a> every Saturday.<\/em><\/strong><\/p>\n<hr\/>\n<p>It\u2019s an interesting issue that is worth taking a moment to consider. This morning, let\u2019s look at how cybersecurity companies have performed, as well as a number of datasets regarding Q1 2023 venture capital investment to understand why investments have been tepid in this sector despite stellar results from the companies.<\/p>\n<p><a href=\"https:\/\/techcrunch.com\/tag\/the-exchange\/\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-2220370 size-medium\" src=\"https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?w=300\" alt=\"\" width=\"300\" height=\"300\" srcset=\"https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg 900w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=150,150 150w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=300,300 300w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=768,768 768w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=680,680 680w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=32,32 32w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=50,50 50w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=64,64 64w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=96,96 96w, https:\/\/techcrunch.com\/wp-content\/uploads\/2021\/10\/exchange-banner-sq-red-plus.jpg?resize=128,128 128w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\"\/><\/a>Sounds good? To work!<\/p>\n<h2>How to make a lot of money in the technology game<\/h2>\n<p>If you want to earn truckloads of cash selling software today, I wouldn\u2019t recommend making an API to connect a blockchain to the e-sports world. Both of those sectors are struggling after a period of over-investment and hype, though I hope both rise again: The former because it would be entertaining in a business context, and the latter because I am a huge nerd who is patiently waiting for a Starcraft revival.<\/p>\n<p>No, if you wanted to make a lot of money in the technology game today, you would build and sell cybersecurity products.<\/p>\n<p>The evidence is clear. Cybersecurity is chugging along quite smoothly, even as the largest tech companies <a href=\"https:\/\/techcrunch.com\/2023\/04\/27\/meta-google-microsoft-earnings-analysis\/\" target=\"_blank\" rel=\"noopener\">muddle along<\/a> and Zoom figures out <a href=\"https:\/\/investors.zoom.us\/static-files\/e6f34596-25dc-4121-916f-1632d5a5b410\" target=\"_blank\" rel=\"noopener\">how to grow again<\/a> after one of the most impressive runs in corporate history.<\/p>\n<\/p><\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/techcrunch.com\/2023\/05\/24\/venture-capital-funding-cybersecurity-startups\/\" target=\"_blank\" rel=\"noopener\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On the back of pretty strong earnings reports and valuations, public cybersecurity companies are outperforming the broader technology segment. Yet, funding for cybersecurity startups has flatlined. The Exchange explores startups, markets and money. Read it every morning on TechCrunch+ or get The Exchange newsletter every Saturday. It\u2019s an interesting issue that is worth taking a [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":19673,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[],"class_list":{"0":"post-19672","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-tech"},"_links":{"self":[{"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts\/19672","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/comments?post=19672"}],"version-history":[{"count":0,"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/posts\/19672\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/media\/19673"}],"wp:attachment":[{"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/media?parent=19672"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/categories?post=19672"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/entertainment.runfyers.com\/index.php\/wp-json\/wp\/v2\/tags?post=19672"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}