This document discusses the impact of digital revolution on mergers and acquisitions from a venture capital perspective. It notes that technological shifts have led to 50x more internet users today compared to the past, with online speeds over 120x faster. This has resulted in entrepreneurs needing less capital to start companies. The sources of capital for late-stage private companies have also dramatically increased to include new corporate venture capital entrants like Google, Rakuten and Alibaba. The tech IPO pipeline volume and investment has also increased significantly in recent years.

1. THE CONNECTED
PROSUMER
DIGITAL REVOLUTION & IMPACT ON M&A
- A VENTURE CAPITAL PERSPECTIVE -

2. MARTIJN
HAMANN

3. VAN DEN ENDE & DEITMERS
VAN DEN ENDE & DEITMERS
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Yesterday Today
Albumprinter
Central Point
Paylogic
Unamic
Hyves
Vista Print
Greenfield
SFX
Xerox
TMG
Spil Games
Metrixlab
Unruly Media
Eyeworks
Adconion
Tomorrow
Ecommerce
Edtech
Digital Media & Marketing
Enterprise Services
Mobile

4. SOFTWARE EATING THE WORLD

5. IN MEDIA INDUSTRY:
TRADITIONAL VS. DIGITAL

6. DEFENCE INDUSTRY

7. TECHNOLOGICAL SHIFT

8. THERE ARE 50X MORE
INTERNET USERS TODAY
(35% OF WORLD POPULATION)

9. ONLINE
SPEEDS
ARE OVER
120X FASTER

10. TIRED?

11. WE'VE ONLYW JEU’VSET OBNEGLYU JNUST BEGUN

12. GOOGLE’S TOP
SEARCH ADVERTISERS

13. ECONOMICAL SHIFT
CASH ABSORBED
PRODUCT
DEVELOPMENT
BUSINESS
DEVELOPMENT
CORPORATE
DEVELOPMENT

14. ENTREPRENEURS NEED LESS
CAPITAL TO START A COMPANY
$5m
$500k
$50k
$5k
1995 2005 2010 2013
Technology
Drivers
Open
Source
Cloud +
AWS
Developers Start
Companies
99% reduction

15. CAPITAL SOURCES FOR
LATE-STAGE PRIVATE COMPANIES
UP DRAMATICALLY
TRADITIONAL
PUBLIC
INVESTORS
• HEDGE FUNDS
• MUTUAL FUNDS
MOVING
EARLIER
TRADITIONAL
VC INVESTORS
• GROWTH
FUNDS
• OPPORTUNITY
FUNDS
MOVING
LATER
NEW
CORPORATE VC
ENTRANTS
• GOOGLE
• RAKUTEN
•ALIBABA

16. TECH IPO PIPELINE
ANNUAL DEAL VOLUME & INVESTMENT ($B)

19. Important or very important when choosing a VC
34%
70%
70%
68%
67%
60%
52%
49%
47%
87%
87%
Operational experience
Industry experience / thought leadership
Ability to help with marketing your company
Ability to attract other VCs
M&A support
Ability to help with access to customers
Recruiting support
Transparency (blog or public voice / opinion)
Access to portfolio network
Name / firm achievement
Location
Less
Important
Source: Upfront Ventures Survey data 19#

20. V.O.C. MENTALITY?

21. @martijnha
martijn@endeit.com
+31653726743