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December 10, 2012 AT 11:06 am

Hardware, the Ugly Stepchild of Venture Capital, Is Having a Glamour Moment #makerbusiness

Business

Hardware, the Ugly Stepchild of Venture Capital, Is Having a Glamour Moment @ Wired Business.

The old saw in Silicon Valley is that venture capitalists won’t touch hardware investments. It’s not because they hate gadgets and machines, it’s that the cost to launch a hardware startup is much higher compared to the price to code a new piece of software. Not only do you have to build it, you’ve got to find the shelf space (virtual or otherwise) to sell it. All that adds up to a risk most investors don’t want to touch.


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