The life-sciences sector, which includes biotechnology and medical devices, continued to remain near historical highs, as it has for the past eight quarters. Investments in that sector totaled $1.41 billion, or 25% of the quarter’s venture capital. However, investments fell in biotechnology companies, which has led investment dollars since the downturn. Analysts called it a blip, not a trend. Eighty-five biotech companies attracted $923 million, down from the $968 million that went into 77 biotech companies in the first quarter of 2004.Meanwhile, funding for 70 medical-device companies jumped 40% to $485 million; that compares with the $344 million that went to 56 companies in the first quarter of the year. “Life sciences continue to garner a significant amount of money and I don’t see that changing,” said Mark Heesen, president of the National Venture Capital Association.
