March 30, 2018

Digital business models are changing the industries like telecommunicationstransportation, advertising, e-commerce, automotiveinsurance and many other industries. Digital businesses have emerged as the most attractive sector for venture capital (VC) investment in the USA. During 2006-2017, the venture capital funding four out of five attracted by the business which representing the digital business models.

Lyft app based on-demand Transportation Company founded in 2012, attracted $2.08 Billion. The ride-hailing digital business model, Uber Technologies which came into play in 2009. Receiving the highest funding of the Top 5 companies in North America with a staggering $10.2Bn by 2017. Airbnb, Inc online marketplace and hospitality services provider founded in 2008 attracted $1.09 billion. Snap, Inc the American technology and social media company, founded in 2012 attracted $3.1 billion. Social Finance (SoFi), an alternative financial services company focused on lending, wealth management and insurance came in at the fifth position.

By sweeping all of the top five slots of the North American VC funding list, the US maintained its position as the centre of digital innovation and home to world-beating digital businesses around physical asset-intensive sectors.

Chart: Top 5 VC funded businesses in North America. Data Source: Global data.


North America VC funded companies

Companies Round No of Investors USD In Billion
Lyft 8 15  $               2.00
Airbnb 9 20  $               1.90
Social Finance 10 20  $               1.80
Uber Technologies 12 27  $             10.20
Snap 10 15  $               3.10
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