So what has changed with regard to starting a "science company"? I assume it's easier to begin prototyping and have a POC to convince investors. The issues of scaling such "science" to real-world levels is definitely more resource intensive and can be hit with more regulatory steps (biotech for example).
But what other factors have changed for "science companies" that make them more attractive investments?
I doubt they are bored :)
My outsiders perspective is it seems to be a combination of idealism (many VC's want to change the world for the better and they really see science as something we should be investing in), and running out software ideas so good that they can break into what is now an incredibly competitive environment.
If I was a VC thinking the party was about to end [1], I would be throwing everything I had at science too. Sure I am going to lose the lot, but I might do some good with it. Much better than losing it anyway backing another dozen B2B SaaS start-ups.
[1] I like everyone else don’t know if the party is about to end, but it does have that Feb 2000 feeling about it.
Funding science isn't for the faint of heart (or wallets). There is no easy 'pivot' if the 10mil (minimum) you invested in a non-software start-up is tied up in physical equipment and a few -80C freezer boxes! And with the IP scene being what it is in Biotech, those patent applications may not be worth the paper they are printed on.
The SV VCs must be unable to find any quick-flip social-shit companies anymore, hence they are looking at funding hard science. The foam will settle soon enough.
Applied science that played into the telecommunication space saw very large investment in y2k: Optical components, high-speed electronics, exotic wireless, that sort of thing. There were probably others, but I was monomanically focused on telecom so didn't pay much attention to anything else at the time.
The one last decade was a huge clean-tech bubble. It famously hammered Kleiner Perkins' reputation on the downside, and was partially responsible for them missing out on that era of major tech startups (such as Facebook).