AAA Comment – Page 145

Intel breaches $10bn but who’s next

As products become more interconnected and complicated, and alternative uses of cash offer relatively lower returns then the pace of corporate venturing is only going to increase – with Intel Capital bearing the standard for what can be achieved as long as hubris does not lead to its downfall.

What price value in febrile times?

This hot-house atmosphere for a few great businesses and others clinging on for high valuations at listing means its harder for patient, longer-term capital to be efficiently invested in businesses for the overall health of the economy. In such conditions, insiders and intermediaries reap the benefits.

An age of opportunity

If the industry is to capitalise on this golden age, corporate venturing units will be required to spend increasing amounts of time and effort showing their achievements and their potential – both in creating opportunities for the parent and as a risk management tool delivering awareness of competitive threats forming.