Burn rates notwithstanding, venture capital has not lost its taste for online video startups. NewTeeVee got Dow Jones VentureSource to come up with a tally of all the cash VCs have dumped into online video over the last few years, and while 2007 was the high-water mark, it doesn’t seem to have slowed down in 2008 — yet.
68 startups landed $460.5 million in funding in 2007 (up from $266.9 million in 2006), a small chunk of the $31 billion in venture dollars invested in 2007, but still a bundle considering even YouTube hasn’t figured out how to break $100 million in revenue from its 70%-plus market share.
And just when it started to look like the once red-hot sector was about to enter its dotbomb phase… the money just kept coming! VCs invested another $217.3 million in the first quarter of 2008.
Business Insider Emails & Alerts
Site highlights each day to your inbox.