2024 Tech Industry Predictions and 2023 Performance Review
Tomasz Tunguz, a venture capitalist at Theory Ventures, shares his 2024 predictions for the tech industry including IPO reopening, M&A acceleration, AI dominance, and cryptocurrency resurgence. He also scores his 2023 predictions, achieving a 4.0/5.0 overall accuracy rating across five major forecasts about market conditions, valuations, and fundraising trends.
Metrics in this report
10-25%
range
2024 valuation multiple differential
50%
approaching
2024 consumer search forecast
10%
annual
2024 productivity improvement vs. decade average of 5%
7.2x
average
Software company valuations
49$b
total
2021-2023 M&A activity
8transactions
actual count
Public software company acquisitions
60+$b
minimum
AI-driven M&A forecast
15.0$m
median
Early stage pricing
54$m
median
Growth stage pricing with ~$500k ARR
-10%
decline
From $60m to $54m median
275$b
peak
Historical VC funding
200$b
actual
Post-euphoria correction
200-220$b
range
Projected sustained level