Not too long ago, very few tech start-ups managed to reach the $1 billion or higher valuation before going public, an achievement that would earn them a spot in the exclusive Unicorn Club list. Today, however, according to the Wall Street Journal and Dow Jones VentureSource, the mythological unicorns are becoming a more common phenomenon.
According to the WSJ, there are presently 115 private companies with valuations of a billion dollars or higher. Back in early 2014, there were only 42.
The proliferation of “unicorns” seems to be backed by a bull market and a new generation of disruptive technology, but is it a sign of another tech bubble? Are we about to witness a market correction?
Below is a chart displaying the growth of venture-backed private companies valued at $1 billion or more.
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Imagen: Participants of the Start-Up Chile programme work at their headquarters in Santiago. REUTERS/Ivan Alvarado
