Bottom Line Up Front: To counter ongoing Chinese investment in tech startups, the Pentagon is becoming a venture capital matchmaking outfit.
Chinese Government Investment In Startups
For years, the US Government has worried because the Chinese Government likes to invest huge sums in new tech startups in the United States (see this article). Starting a new company is hard, even more so if you have no money. Struggling companies with hot new technology have had the Chinese Government suddenly show up with bags and bags of cash, happy to play angel investor. What a godsend! Who could refuse?
There was nothing illegal about it. It was all completely legit, done in full public view, and 100% above the board. Still, more and more new technology in the United States was beginning to belong to the Chinese Government. What could be done?
Introducing the Pentagon, Angel Investor Matchmaker
As of this week, the Department of Defense would like to play matchmaker between struggling new companies and big-bucks American investors. The Trusted Capital Marketplace Initiative has a long list of investors ready, willing, and able to fund new businesses. This, at last, will create a way to keep the newest technology in American hands.
Hey, I’m a Struggling New Business!
Well, here’s your golden opportunity! Go give the Trusted Capital folks a holler and see if they can’t find some dollars under the couch cushions!