Whither the VC industry?

Remember back during the tech startup era when everyone wanted to work for a venture capital firm. How times have changed. Fortune offers an interesting piece on whether the industry will exist in a decade. The model has really changed. For one thing, the competition is intense, and that is forcing more firms to act like angels, taking smaller bets on a lot more companies--a huge change. On the exit side, well it's getting harder. You can't sell initial shares unless you've got a great story to tell, meaning profits and soaring revenue growth. And in a way, VC firms are competing for startups with the big investors like Google and Microsoft. On top of all this, there's the proposal to boost taxes on partnerships. No wonder the cachet is gone.

For more:
- here's the article from Fortune
- more venture capital news