Green Tech Companies Received $2.23 billion in Investment
Oct 8th, 2011 by adrianlai
The global economy has suffered for nearly two years, but it hasn’t stopped venture capitalists from investing. In fact, the amount of investments in green tech ventures increased in quarter 3 by 23% compare to the same quarter last year. Investors spent $2.23 billion on 189 companies worldwide this quarter, but only $1.81 billion on 179 companies last year. Of all the venture capital, North American companies drew 76% of the investments while Asia attracted 18% and Europe and Israel had the remaining 10%. Traditionally, solar and energy efficiency companies receive the most investments followedby energy storage companies. This year, however, investors have grown fond of energy efficiency technologies because they don’t require huge amounts of money for development and deployment, unlike solar equipment manufacturing and biofuel production.
I find it encouraging that venture capitalists are still willing to invest in companies despite this unstable economy. The green tech industry has been growing over the past few years and as the public becomes even more conscious about the environment, there is a tremendous opportunity in the green industry. Investments in green companies should continue to increase to satisfy the market’s growth.