Big is not necessarily better, at least for some venture capital firms funding tech start-ups.
Venrock, created by the Rockefeller family in 1969, announced today in a release that it has raised $350 million for a new capital fund, down from the $600 million it raised for its last fund in 2007.
But the decrease appears to have been intentional. “We are proud and grateful to have raised Venrock VI at the size and terms that we sought and we appreciate the continued support of our limited partners,” said Bryan Roberts, a partner at the firm, in the release. The intentionally reduced funding is partly because today’s software companies do not need as much capital as they did before to get off the ground.
Venrock has provided funding for DoubleClick, AppNexus, Live Gamer and other New York-based tech companies.
Roberts also provided a different type of assurance: “We have a focused team of proven investors who remain passionately committed to helping great entrepreneurs create big successes,” he said in the release, lest there were lingering doubts that this reduction might be anything but a good thing.