This paper examines the probability of domestic and international venture capital playing a critical role in the rapid development of IT and Communications technologies in emerging nations. First we examine the venture capital point of view highlighting what today's venture capitalists require from an emerging market investment with a focus on the role that intellectual property invention plays. Then we examine the role of Internet and communications technologies and comment on innovation in this context. This will enable us to more fully evaluate the conditions of specific nations in encouraging the development of entrepreneurship and technical and business innovations. Finally, we explore in more depth review the role that ethnic diaspora play in encouraging entrepreneurship in developing nations, as well as within the global heart of Internet innovation and entrepreneurship itself, Silicon Valley.