Startups Bet on the Chinese Market


Welcome to the second part of the Pacific, where market capacity is huge and prices are too large.

Venture investment in Asia is challenging the tech world compared to last year. Investors and corporations have invested rapidly growing private companies to a limited extent.

Mainland China once again occupied the landscape of Q3 2018 in the Asia Pacific region. Approximately 71% of the known venture volume volume of this region is estimated, more than 66% of the leading regional total in the contract by Mainland China-based economies.

Since there is a dominance in the China Venture Fund, it does not have any major secrets. This is the only attractive market for companies and investors. China leaves a substantial room for the development of population-wide market and government support helps to use tech ammunitions. But what has happened in China’s investment environment for the last few months, such as Trump’s commercial war, geopolitics, and cybercatch problems on US-China relations?

At first glance, this chart may be a bit misleading. China experienced 26% reduction in total venture investment volume from Q2 to Q3 2018. However, there is a maximum description of the need for a lesser reduction in this reduction – it could not have been a major cause for China’s trumpet tights.

In Q2, if you miss, anti-final, about the fan of the e-commerce wall, Alibaba was a monster $ 14 billion recipient. If we have close perspective, a large round of Q2 to Q3 volume can be attributed to 26% reduction. Without a non-financial round, the volume of the dollar will be up to 1 percent from Q2 to Q3 2018.

Dell volume also rose from Q2 to Q3 period, with the investment combined with the increase in investment dollars, discounted to the defamatory anti-financial round.

The number of individual cases for deal volume, or seed, initial and late stage companies increased by about 27 percent from Q2 to Q3. Even if we had increased the volume of dollars to promote Anti-Financial Round, it was slower than the overall development of the Dell. Therefore, without a big drop, it is clear that the number of seeds and early stage cases has increased. This figure has been confirmed by which the volume and initial phase dell volume respectively increases approximately 53 and 18 percent respectively.

Therefore, venture investment in China continues to increase its own limit. The total number of investors reached a large scale for Chinese companies.

Super Ranks Superior

China was going to get a big way. The global number of $ 100 million or more was a record month for the global number (what we call round round). According to Crunchbase News Reporting, this month, six out of six global tours for Chinese companies in six months.

Q3 In 2018, China closed with a 54-run round. Half half of his half was more than $ 200 million and more than five billion dollars. It has a great impact on large investment, but it is actually less than 57 super-round rounds recorded in Q2 2018. So far, China-based Supermarked Round Q1 was very common in Q1, brought only $ 36 million from just 36 rounds.

During the last year, the change in the beginning of these major global rounds is beginning to define every stage of the finance. In China, seed investment has also reached an unprecedented height, because heavy hands make investors a big bet on young initiatives.

Seed stage investment

Seed stage dollar increased by 20% to Q4 to Q3 2018. This development increased a large “pre-series A” super-round round, including a large round.

The largest “Badge” round electric car maker in China was $ 294 billion in Dearrc. China’s electric car space has added new initial upgrades and funds in recent years. Investment in China’s electric vehicles market was emphasized by the national push for new energy vehicles in the country, which started from the beginning of 2010. This push was supported by the government’s subsidy and tax rebate, whose country now starts at a re-scale. According to a Bloomberg report, some investors expect only one percent hundreds of electric car companies to survive in China.

Specifically, the NIO, which is considered as a response to China’s test, went to public in Q3, its first $ 1 billion was shattered. However, the company reported only $ 7 million in sales in the first half of 2018, with more than $ 500 million losses. At the time he provided only 481 cars in the circle, due to the earthquake Hazara was first.

Initial stage investment

In the initial phase for companies in China, electricity is also interested in investors. The 2014 Zoopine Motors, which has raised an outstanding $ 1.3 billion dollar from investors, including Ali Baba, GGV Capital, Morninghead, Focuscon, and others.


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