Silicon Dragon News 
February 2011 
Happy New Year  新年快乐
 Featured Event:
The Next Asian Frontier for Startups

8 top venture investors spotlight the next Youku or Dangdang from China. Intel and IBM corporate investors highlight Vietnam and the new Silicon Valley hotspots of Asia. Suntech America's president Steven Chan reveals why the Chinese solar company powered up in Arizona. MakeMyTrip investor Sierra Ventures 

shares how India's online travel site achieved a breakthrough IPO on NASDAQ.

Bill Tai


Featuring panelists Ajit Nazre of Kleiner Perkins, Bill Tai of Charles River Ventures (above) plus Bill Draper of Draper International, Jake Seid of Lightspeed Ventures, Chris Evdemon of Kai-Fu Lee's Innovation Works plus Q&As with Suntech and MakeMyTrip


Rosewood Sand Hill 
 Menlo Park, CA
February 9, 2011, 6pm-9pm 
Thanks to our lead sponsors
Morrison & Foerster KPMG, Wells Fargo, NASDAQ
Join us for a Chinese New Year reception
hosted by K&L Gates

Media partner: DingDing.TV
Marketing partners: CCICE, CSPA, IVCA, SFentrepreneur, Asia Society


Sequoia Capital raises $1.3 billion!  to finance MORE startups in China and the U.S.


 Neil Shen

Sequoia's Neil Shen


Tencent sets up a $760 million fund to invest RMB in online gaming, media and e-commerce startups in China



Veteran venture investor Lip-Bu Tan of Walden International scores a Shenzhen IPO as its investee Fujian Hiayuan Automatic Equipment raises $561 million 



New Margin Ventures of Shanghai injects $20 million into digital marketing startup Panshi Information Technology


GSR Ventures joins in on 3rd round of funding for online flash retailer in China, VIPStore



Silicon Valley Engineering Council

Banquet and Hall of Fame induction


February 24, San Jose


Global China Connection


February 12, Princeton University

student conference



Financial Services Luncheon

March 3, Sheraton Palo Alto


Send news and views to
Silicon Dragon News 






Buy Chinese Edition

Timing could be right for eHi IPO in US 

For Founder Ray ZhangFounder and CEO Ray Zhang, it's all about timing. The market for Chinese IPOs is hot and his vehicle rental service is riding high on China's love of the automobile.

Plus, his investorsled by Qiming Venture and Ignition Partners in 2008, joined by CDH and JAFCO in 2009 and Goldman Sachs in 2010are poised to profit from putting $100 million in eHi.  

At our Silicon Dragon 2010-Shanghai event, Zhang (right) told us he wasn't in a rush to take eHi public. But now that the market-leading and profitable e-Hi is geared to double sales to $61 million this year and the investment banks are primed, the big opportunity to cash out from the 2006 vintage startup could be now.

As eHi has ramped up, Silicon Dragon has been tracking progress made by its foundera computer science geek who honed his entrepreneurial skills at a U.S. software startup and topped that off with an MBA from the prestigious CEIBS in 2005. We reported on Zhang's milestones in a column for Forbes.

Venture Capital Deals Climb but Don't Near 2007 Peak, Fund Raising Inches Up in Asia 

Chindia leads rebound with 60% of Asia deals in 2010


 # of Deals                   
2010        2009        2008       2007 

Asia       + 9.5%                 808           738           1290        1512

China   + 21%             303           250           475          574

India    + 24%             211           170            294          290

US        + 6%            2799           2636           2817        2823


China, India dealmaking more than doubles in 2010

Investment $         

                              2010        2009        2008       2007

Asia       + 63%          $15.6         $ 9.6         $21.8        $26.4

China    + 145%         $ 7.6         $ 3.1         $ 9.1         $ 8.7

India     +  132%         $ 5.8         $ 2.5         $ 8.3         $10.3

US         + 11%          $26.2        $23.6         $31.0        $31.4 


Fund raising remains in ditch but on slow incline in Asia

Fund raising $        2010         2009       2008       2007

Asia      + 21%          $ 3.5           $ 2.9         $ 7.2        $ 6.3

China    + 13%          $ 1.7          $ 1.5          $ 4.0        $ 3.8

India     +100%           $  .6           .3          $ 1.4         $  .6

US         -14%           $11.6          $13.5         $24.7        $33.1

$ in millions

AVCJ, Dow Jones

Fund raising indicators: 38+ IPOs in pipeline with China again in parade.  Plus: 445 M&A deals in US raised $33.9 billion in 2010, up 17%.    


Tech buzz shifts to China 

  • Quora gets a made-in-China clone: ZhiHu Does it have what it takes? Only in China.
  • Tencent sets up  $760 million fund to invest in Chinese startups and joint ventures with Groupon too.
  • Groupon rushes to China, hiring 700 and setting up in same building as Ushi. But did its China marketing director already quit? Better odds to succeed than eBay? Probably-it's a retail play.
  • Carnegie paper: Home-grown innovation in China is a "healthy, positive development."
  • Davos: Global (read China, India) power shift coming to tech as innovation rises. Baidu, Dangdang and Youku get credit. 
  • Guardian: Truth or fiction that Chinese stealth fighter jet "borrowed" from  U.S. technology? 
  • Jim Breyer of Accel: "One-third of the market capitalization created by Internet and media companies will come from China." Kai-Fu Lee: "It will be a long time before China really has something significant, like an Apple, Facebook or Google." 
  • Google's Eric Schmidt is searching for a Chinese partner for the Android mobile phone system.  
  • Is China's Rollicking VC business headed for a reality check?
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Bill DraperSilicon Dragon is in the Valley during Chinese New Year writing her next book and prepping for the BIG EVENT on Sand Hill Road, February 9, 6-9PM. Join us for HOPPING content and a reception to welcome the Year of the Rabbit. 

Venture investor and panelist Bill Draper will bring some extra copies of his new book, The Startup Game.


Sign up for Silicon Dragon Frontier Event 

The tempest over Dangdang's IPO Peggy YuYu

You can bet that Dangdang co-founder Peggy YuYu never wanted to be so high profile. She recently held a press conference in Beijing after her business partner and husband Guoqing Li got into an online yelling match with an unidentified female blogger claiming to be a Morgan Stanley investment banker. The dispute was over claims that the pricing of the online retailer's IPO was undervalued. There may be some lessons learned here for other Asian startups heading to Wall Street.

Silicon Dragon 2011 Events


Sand Hill Rd, Feb 9: China, india & the Next Frontier

Beijing, May 25: Cleantech & New Horizons

New York, Sept: IPOs, M&As & Returns 

Silicon Valley, Oct 6: China Innovation: Reality or Dream? 

Shanghai, Nov 7: Startups Battle the BAT

Hong Kong, Nov 9: Venture VIPs




China, India & the Next Frontier, Feb. 9


If you are a fan of the new Kindle electronic reading device and would like to order a digital edition of Silicon Dragon, just click Amazon. The Kindle edition is available for only $14.97.
For Speaking Engagements and video clips of presentations, see
See her schedule at Talks
On February 3, Rebecca co-hosts the Internet TV program Innovation Dialog, with anchor Diana Ding. See DingDing.TV.
On February 24, Rebecca will be the EMCEE of the annual awards banquet held by the Silicon Valley Engineering Council.
On March 3, Silicon Dragon will be the EMCEE for the InvestHK Financial Services luncheon at Sheraton Palo Alto.