Analysis: It's a good day for small Irish software firms
This is a serious shot in the arm for Irish tech startups. Up to 40 young companies will get at least some access to this new €60m fund. Looking at Frontline's investment history, the majority of these will be in Ireland. It's keenly needed. There has been a tightening of venture cash available to small Irish tech firms in recent years, with many forced to look abroad.
The situation has improved in the last 12 months, but many startups still complain of too-rigid criteria from venture firms that are overly conservative in their investment outlook. And angel investors, which usually pick up the slack where banks or big VCs fear to tread, are not adequately present in the Irish market to make up the numbers.
Frontline emphasises that its fund - which is backed by all sorts of state money - is aimed at early stage business software startups. But that's actually a near-majority of the market here: analysis done by the Irish Independent shows that business software is by far the biggest segment when it comes to tech startups seeking money.
In this case, investment begets more investment. A €60m fund will significantly enlarge the ecosystem.