Is Diversity Tech Venture Capital’s Next Frontier?

CBx Vibe:Ayo Technology” 50 Cent Feat. Justin Timberlake

By Dayana Preval

  • The share of U.S. technical employees who are black or Latinx rose by less than 1% at Google & Microsoft
  • Black unemployment rate is now 5.5%

Major tech companies have made billions of dollars since they first started releasing diversity reports in 2014. At Google (GOOG +0.40%) and Microsoft (MSFT +0.89%), the share of U.S. technical employees who are black or Latinx rose by less than a percentage point since that time. Also, the share of black technical workers at Apple (AAPL +0.02%) is unchanged at 6%, this number represents less than half the U.S. Black population at 13%. There are more jobs available than ever before, yet somehow black people are still going through hurdles to get decent employment in the tech industry.

Why This Matters: As the world of social media and technology continues to expand more jobs are being created. Perhaps this means black people should be getting employed and receiving opportunities in industries such as tech. The answer is two fold, both yes and no. The black unemployment rate fell to 5.5% last August, the lowest point ever recorded since the Bureau of Labor Statistics started tracking unemployment rates by race in the 1970s. Yes, the stats for black unemployment is declining, but it is still higher than our white counterparts which stands at 2.5%.

The share of black technical workers at Apple is unchanged at 6%

Unfortunately, the same lack of diversity is happening in venture capital. Would you be surprised if, despite your education and your efforts, it’s all about who you know? You shouldn’t be as Richard Kerby from Equal Ventures points out in regards to just how deep the lack of diversity in venture capital goes. According to Kerby, after going through 1,500 venture investors he found that 40% attended Stanford of Harvard.

Situational Awareness: Most people want to work with people who have similar backgrounds in education, gender, upbringing, etc. It’s important as a community, we do our part to make it into rooms where decisions are made, so fair opportunities can be given across tech and venture capital. We are just as qualified and deserving!

CBx Vibe:Ayo Technology” 50 Cent Feat. Justin Timberlake

CONTRIBUTOR

Dayana Preval

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