CB Insights has published an overview of the biggest ($1b+ acquisitions) by ‘non-tech’ companies, meaning companies who at their core are not (yet) driven by modern (digital) high-tech.
Since the start of 2013, there have been eleven different tech acquirers who have made a $1B+ acquisition of a venture-backed U.S. company. But while a small sample, the makeup of buyers appears to be shifting as incumbents across industries ranging from consumer packaged goods to auto to insurance buy into venture-backed companies.
2016 clearly stands out.
Those big exits could lead to renewed interest in online retail by VCs.
Certainly, something has changed. And it is mainly that the big retailers and brands have woken up.
It may be too late for some or most of them, but this will bring more money to the digital ecosystem at all stages and thus change things. (like the mentioned possible effect on VCs)
There is a big systemic change underway which is fueling this. One result of this is the decreasing company lifespan of S&P 500 (fueled by M&A more than by bankruptcies, but make no mistake: the latter will come):
We wrote about this greater change here: Walmart, P&G and the Upheaval of a Decades old Symbiosis Between Retailers and Brands.
- U.S. Ecommerce After Jet.com and Dollar Shave Club: VC Is Back in Town?
- Future Retail: Forerunner Ventures And The Next Big Thing
- Jet.com: When Walmart Lays Off Its E-Commerce Boss
- Walmart Built Ecommerce Strategy for Themselves, Not Users
- Walmart, P&G and the Upheaval of a Decades old Symbiosis Between Retailers and Brands