Article: Venture capital falls.(Wall Street WEST)(investment in early stage companies)(Brief Article)

Venture capital activity in Southern California fell 40 percent in the first quarter to $371 million, a sign investors in early-stage companies pulled back as the overall economy lost steam.

Venture capitalists invested in just 34 deals in Southern California in the first quarter--13 each in Los Angeles and San Diego and eight in Orange County--compared with 51 deals in the first quarter of 2004, according to a report released last week by accounting firm Ernst & Young and VentureOne, a unit of Dow Jones & Co.

Several sectors posted ...

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