The stock market boom of the late 1990s was fueled by dot-com companies going public, but there's a very different high-tech landscape now. The percentage of IPOs held by tech companies is at a seven-year low, and those IPOS have generally been disappointing.
Only 11 percent of U.S. IPOs so far in 2015 were held by tech companies, the lowest level since the midst of the financial crisis in 2008, when 10 percent of all IPOs were in tech. With just 15 tech IPOs through August, this year could see the fewest such offerings since 2009. Shares of those 15 tech companies on average have fallen 4 percent from the IPO price, and 20 percent after the first day’s close.
What the strongest high-tech startups are doing now is staying private. There are now at least 117 private companies valued by venture firms at $1 billion or more, nearly double the amount from one year ago.
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