For the first nine months of 2004, venture capital investments totaled $15.3 billion compared to $13.3 billion for the first nine months of 2003. At the current pace, full year 2004 is expected to exceed 2003’s total of $18.7 billion.

Telecommunications [investing] continued to languish as it has for the past two years, attracting $450 million, or 10 percent of all venture capital. Of the 58 companies funded, most were follow-on rounds. The networking industry followed a similar pattern with $314 million, or 7 percent of total dollars, with 43 companies funded.