The relaxed and open approach to funding that saw start-ups raise record amounts of money last year could be coming to an end with the tech sector now entering a "Hunger Games" environment, venture capitalists have warned.
VC investment hit an all-time high of $128 billion in 2015, but the fourth quarter saw investment slow dramatically, according to a report by KPMG and CB Insights out this month, with the number of new unicorns – start-ups valued at over $1 billion – dropping significantly.
The reasons piled up: stock market turmoil, cancelled IPOs, writedowns and questions about whether the tech market was in a bubble.
"The world is an extremely complex place right now, I think that the volatility is certainly going to continue," Mark Goodburn, global head of advisory at KPMG, said during a panel at a CNBC technology event at Davos.
"I think if you add them up today…somewhere between 65 and 75 unicorns out there right…they won't all be winners. So will we see some failures? We will."