According to a CB Insights survey, VC activity in the mobile sector increased in 2012.
The mobile sector has long been a hot spot for VC funding, and the love continued to grow in 2012, according to the latest data.
Venture capital database CB Insights released its latest Venture Capital Activity report Tuesday, which showed that while overall VC investment fell by 7.5 percent last year, investment in the mobile sector bucked the overall trend--hitting a five-quarter high in terms of both VC investment ($968 million in the third quarter) and deal volume (116 deals).
Mobile VC investment was up 75 percent versus the third quarter of 2011. The Internet sector, which encompasses web-related businesses, hit a five-quarter low.
Diving deeper into the data: Within mobile, wireless technologies garnered the most funding, according to the report. Mobile CRM, which connects remote employees to customer data via mobile devices,was the biggest area for deal activity.
On the funding front, mobile-based businesses dealing with payment and security came out on top. The still relatively new and emerging mobile sector continues to house a wide variety of business types including apps, healthcare, mobile commerce, and education.
According to the report, early stage mobile deals reached a median of $1 million (for the first time akin to Internet seed deals), while late-stage deals surpassed $24 million.
Other highlights: California, naturally, was the hub of both mobile deals and dollars. New York raked in the second highest number of mobile deals, while Massachussets was number two for mobile dollars. In terms of investment, Virginia was in the number two spot, commanding 15 percent of VC investment in mobile.
JULIE STRICKLAND covers start-ups, small businesses, and entrepreneurial endeavors of all kinds for Inc. Her work has been published in Brooklyn Based and City Limits in New York, the Free Times in Columbia, SC, Real Travel Magazine in London, and Daegu Pockets in South Korea. She lives in New York City. @Jules5168