Opportunities

The last 20 years have seen one of the most dramatic bursts of technological advancements in history.  During the last few years technology has surged over and above this high historical rate.  Recent technological advances include:

• Semiconductor and Telecommunication Applications
• Networking Capability of Computers
• Merger of Computers and Telecommunications

Traditionally, these developments have spread out into horizontal markets as the technology developed over time.  The Principals believe that the recent surge of technology development has occurred so rapidly that much of the recently developed technology has yet to migrate into other markets. The Principals believe that this migration will accelerate, providing an extraordinary opportunity for the Fund to invest and drive this newly created technology into new products and markets.

The Principals believe that the current economic environment has created ideal conditions for investing in venture capital opportunities for a number of reasons.  First, the environment has created a pool of “available” and highly-talented engineers and scientists who otherwise would be more difficult and costly to recruit.  Second, the current environment has created access for smaller companies to utilize the infrastructure of intellectual property that has been built out over this period.  Finally, the Principals believe that current valuations are depressed and will provide attractive opportunities over the life of the Fund.

Scott Blackstone is a board observer to SourcIQ. SourceIQ is pioneering the development of software methodologies and applications that provide Global 2000 companies with strategic and tactical insights intotheir portfolio of source code assets.