The article discusses an interview with two venture capitalists (VCs) who were asked about their views on the European tech industry. The main topics covered in the interview are:
- Late-stage funding gap: The VCs discussed how there is a significant gap in late-stage funding for European companies, with only a quarter of deals above $100 million being funded in the UK, compared to Silicon Valley.
- Capital efficiency: The VCs argued that this capital gap has led to European companies being more lean and efficient, which can result in lower volatility and a better risk-reward profile for investors.
- Learning from Silicon Valley: One of the VCs mentioned that Silicon Valley’s experience with late-stage funding is different from Europe’s, and that there may be opportunities for learning and growth.
Some quotes from the interview are:
- "If you’re just looking at the U.K., there is a $35 billion gap between the Bay Area and the U.K."
- "We’re basically where the Bay Area was in 2014… We’ve still got a lot to learn from the Bay Area."
- "I think what Silicon Valley really understands that we haven’t figured out yet is that a lot of the capital you deploy at late stage, you can kind of write off…"
