Venture capital investments in Minnesota dived 48 percent to $139.5 million in 2010, the lowest annual investment total in 15 years of record keeping, according to the MoneyTree Report.
Analysts said the figures were worrisome and further indicated our state's reliance on medical device companies to draw venture capital. Venture capital investments nationally in medical devices declined 31 percent in the fourth quarter.
"Unfortunately, as a geography and state, we've pretty much put all our eggs in the medical device basket, and the medical device basket is hurting," said Jay Hare, a partner at PwC.
Why does this matter? Hare said venture capital is "a fairly persistent contributor" to new companies, jobs and innovation.
"(It) influences people's choices on where they want to live," Hare said.
Read more about the MoneyTree Report in today's article.
