In Wall Street Journal article, ‘slow, quiet death’ is ahead for many venture firms.

The global recession is going to take a heavy toll on the venture capital industry, says Scott Austin of VentureWire.

In “Venture Capital Dispatch,” which was posted at the Wall Street Journal’s Web site, Austin claimed the coming shakeout is “overdue” since “investment has outpaced returns for more than a decade.”

Austin writes for VentureWire which is owned by Dow Jones.

Austin also pointed out that the venture industry has been contracting since the “dot com” boom days of 2000, dropping from almost 1,200 to fewer than 850 that made investments in 2007.