Article: The Big Brother house ; PsychoGeography

Venture financing in the Bay Area drooped during the spring in a downturn that also eroded activity in the East Bay, according to a report released Monday.

The amount of Bay Area venture funding provided to privately held startups in the region slipped 5 percent in the second quarter of 2007 compared with the same quarter in 2006. In contrast, venture financing nationwide increased over the same period, a quarterly study by Ernst & Young and Dow Jones VentureOne found.

"Things have definitely slowed down," said Paul Chau, a San Francisco-based partner with W.I. Harper, a venture capital firm.

Investors plunked down $2.51 billion on private startup companies with their head offices in the ...

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