GGV Capital, a Silicon Valley VC firm, just announced that they’ll be dividing their business into US and Asia teams. 

• According to the firm, the split would divide the business into two “completely independent” entities with their own set of brands. 

‍

🔎 The nitty-gritty  

GGV Capital has $9.2B in assets, having invested in companies like Grab, Bytedance, Alibaba, Airbnb, and more.  

The US team. They’ll focus on North America, Latin America, Europe, and Israel. 

• Managing partners Glenn Solomon, Hans Tung, Jeff Richards, and Oren Yunger, will lead the team. 

The Asia team. They’ll invest in China, Southeast Asia, and South Asia. 

• Oh, and managing partners Jenny Lee and Jixun Foo will take the lead from Singapore. 

“Over the last decade, the investment landscape has shifted significantly, and the operating environment has become highly complex", said an announcement from the firm.

‍

🦅 Big picture

Geopolitical tensions have not improved between the US and China. 

The Biden administration restricted US investments in the Chinese AI, quantum computing, and semiconductor industries a few months ago.

• Lawmakers from the US also sent letters ‘expressing serious concern’ to GGV (and three other firms) about their investments in China-based AI, chips, and quantum computing companies.

‍

🗓️ Will we see more splits?

Back in June, Sequoia Capital split their operations into three independent entities:  US, China, and Southeast Asia and India firms.

While no official reason was provided, GGV’s split (and Sequoia’s) is a likely result of regulations and crackdowns between US and China.

• New year, new me. GGV Capital is expecting to complete the transition by the end of the first quarter of next year.