Who cares that the NASDAQ Biotechnology Index (NBI) is down more than 14% in 2016? Not VCs. According to the MoneyTree™ Report from PricewaterhouseCoopers LLP and the National Venture Capital Association, based on data provided by Thomson Reuters, approximately $1.8 billion was invested in biotech companies, representing 118 deals. This represents an 11% increase in dollars and a 19% increase in deals, compared with 4Q2015. But the devil is in the details. First-time funding in 1Q was down 29% in dollars and 37% in deals. For now this is good news as VC firms seem to be backing companies they have already invested in. This will allow development projects to move forward, which is good news for larger biopharmaceutical companies (they need the compounds) and for CROs and CMOs.