VC Funding in Mobile App Development Still Hot
Since 2012, mobile app development companies have taken $262M in VC funding across 36 deals, which accounts for 59% of the $446M to the mobile app development space overall. Some of the largest acquisitions included Kony Solutions at $18.3M in a Series D round from Telestra Ventures as well as Mobiquity at $12M in a Series B round from NewSpring Capital and Sigma Partners. On a broader note, VC funding to the developer tools category as a whole reached $646, a 77% increase from the previous year.
M&As Are Also Hot
Investors bullish outlook on the market has been spurred by the increasing number of enterprises utilizing mobile apps as well as numerous M&As in the space. Some of the large M&As include Facebook’s acquisition of Parse for $85M and IBM’s acquisition of Worlight for $70M (highlighted in the chart below).
Graph and data thanks to CB Insights.
With growth projections for the mobile industry as a whole in the double digits, mobile app development companies will likely continue to see an increase in VC funding in the years to come.