Regulation, Geography, and Venture Capital

"We created innovation in this country, for job creation, and then we pulled out a gun and shot ourselves in both feet. If this continues, our children will not be doing the same work as we do. This situation has very serious consequences. It's all linked. If the system breaks, it will take a long time to replace it." --Paul Maeder

In this Red Herring interview with Paul Maeder, the chairman of the NVCA, he shares his thoughts on the current state of Venture Capital and the impact of Geography and Regulation. He sees New York, Boston and Silicon Valley as the innovation hubs and doesn't see a need for another one. He doesn't see how you could create a fourth, since the creation of these innovation hot spots is an organic, unscripted process.
Most interesting was his take on how Sarbanes Oxley has killed many companies' desire to go public. This makes Venture Capital much harder because the typical VC exit is through an IPO.

His observations make sense. You can regulate businesses out of existence. I hope those in D.C. are listening.
Read the whole interview here: http://redherring.com/Home/26526