Just 1 percent of venture-backed startup founders are Black, according to a seminal 2010 report by tech market intelligence platform CB Insights.
Silicon Valley-based tech company Intel Corporation decided to do something about the gap in venture capital, and in the process, has earned a reputation for raising the bar for diversity and inclusion among tech giants.
Intel Capital, the division that was set up to manage venture capital and investment, mergers and acquisitions, has announced a sponsorship of HBCUvc.
HBCUvc is a nonprofit that trains students at historically Black colleges and universities (HBCUs) and Hispanic-serving institutions (HSIs) about venture capital and tech entrepreneurship.
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Intel Capital has raised a total of $1.3 billion across eight funds. The latest fund was Intel Capital Diversity Fund. Announced on June 9, 2015, the diversity fund has raised a total of $125 million, according to
HBCUvc provides students with skills training, mentorship and the chance to build professional relationships with seasoned investors and entrepreneurs, accordng to a press release. Its Venture Capital Clinic empowers student fellows to put what they’ve learned into practice and fuel high-growth entrepreneurship on campus.
Intel Capital and Intel plan to partner with HBCUvc to provide mentoring, training and real-world experiences.
In January 2015, Intel set a goal to reach full representation of underrepresented minorities and women in its U.S. workforce by 2020. The company achieved its goal two years ahead of schedule, according to a 2018 Forbes interview with Barbara H.
“Our workforce now reflects the
Venture capitalists make decisions on which companies receive investment.
“The current racial and ethnic demographics of venture capitalists mirror the demographics of entrepreneurs who received venture capital funding,” according to HBCUvc. “These demographics are also in alignment with lack of racial diversity at technology and high growth firms.”