Biotech and Pharma Companies Account for 13% of Deloitte's 2016 Technology Fast 500

The Technology Fast 500 is a leading technology awards program that combines technological innovation, entrepreneurship, and rapid growth. These 500 companies from cities across North America—whether large or small, public or private—are disrupting the technology industry, spanning sectors from software to biotechnology, with a particular focus on SaaS, cloud computing, data analytics, and mobile technologies. VCBeat (WeChat ID: vcbeat) provides an analysis of this year’s award-winning companies.

These insights and perspectives are published in Deloitte’s 2016 Technology Fast 500 ranking and PDF report. Meanwhile, Deloitte also provides a data trend model exploring changes from 2009 to 2015, covering the fastest-growing public and private technology, life sciences, and energy technology companies in North America. The ranking is based on revenue growth during the fiscal years 2012 to 2015; eligible companies must have had a base year annual operating revenue of at least $50,000 and a current year annual operating revenue of at least $5 million.

1. BounceX, Doximity, Gainsight, Datadog, AppLovin, WalkMe, Pure Storage, Inc., Tanium, Inc., The Muse, and Box were ranked among the top ten fastest-growing software companies in 2016.

2. Leading software vendors ServiceMax, MuleSoft, Workday, Zendesk, Tableau Software, Veeva Systems, Zuora, Splunk, Marketo, HubSpot, Adaptive Insights, LinkedIn, and InsideView were respectively selected for Deloitte’s 2016 Technology Fast 500.

3. Among Deloitte’s 2016 Technology Fast 500, 58% were software companies.

4. The software vendor has topped the Deloitte Technology Fast 500 for 21 consecutive years.

5、Loot Crate, YieldBot, ARIAD Pharmaceuticals Inc., SearchMarkers.com, BounceX, Doximity, Gainsight, Lexicon Pharmaceuticals Inc., Datadog, and AppLovin ranked among the top ten of Deloitte’s 2016 Technology Fast 500. Five of these companies are software vendors, three are from the digital content/media/entertainment industry, and two are from the biotechnology/pharmaceuticals industry.

Top 10 List: Two Companies from Biotechnology and Pharmaceuticals:ARIAD Pharmaceuticals Inc. andLexicon Pharmaceuticals Inc.

6、Among the companies on Deloitte’s 2016 Technology Fast 500, 58% were software vendors, followed by biotechnology/pharmaceuticals (13%) and digital content/media/entertainment (12%), medical devices and communications/networking (5%), electronic equipment/hardware (4%), semiconductors (2%), and energy technology (1%). Within the software sector, Deloitte’s analysis identified SaaS (44%), enterprise software (24%), and security (10%) as the three highest-growth areas.

Software vendors account for 58%, with a total of 290 enterprises.

7、The median three-year revenue growth rate for software industry startups was 275%, ranking fourth. The top three sectors were digital content/media/entertainment (544%), biotechnology/pharmaceuticals (428%), and electronic equipment/hardware (290%).

Analysis of the Median Three-Year Revenue Growth Rate

8、Among the companies listed in Deloitte’s 2016 Technology Fast 500, 68% had previously received venture capital or private equity investment. Of these top 500 companies, 64% were privately held and 36% were publicly traded. Notably, 95 of these companies achieved a median revenue growth rate of 1,000% or higher over the three-year period from 2012 to 2015.

68% of manufacturers have previously received venture capital/private equity investment.