Venture Capital Returns Plummet

This is largely a consequence of the defeated IPO market, due to increased regulation on publically-traded companies. It's now much harder to IPO.

I think the home-run seeking mentality of VC has always been flawed, though. Maybe in the long term these changes will have some positive effects, if they can alter the goals and behavior of the VC firms so that their incentives are more closely aligned with those of entrepreneurs.