Venture capital financing rounds in the U.S. dropped 24 percent between 3Q 2014 and 1Q 2015, falling from 1,651 investments to 1,262 last quarter-the largest consecutive decline since the financial crisis and the fewest number of rounds since 4Q 2010. While this represents the first significant decline in VC activity in the last four years, the amount of capital invested remains stable. This supports the notion that VCs are becoming increasingly selective and are investing more capital across fewer rounds. The increased time and money being poured into late-stage companies and the dwindling number of first financings of startups is driving this trend. In 1Q 2015, first financings were the lowest since 3Q 2009, totaling 278 first financings in 1Q 2015-a 62 percent decrease from 1Q 2012.
