Venture capital investment in Mainland China in the first quarter of 2007 showed increased signs that it is diversifying beyond the traditional industries while overall activity was relatively steady from a year ago, according to the China Quarterly Venture Capital Report released by Ernst & Young and Dow Jones VentureOne, the publisher of the VentureSource database. In total for the quarter, $343.5 million was invested in 36 deals, a decline of 5% in capital and four fewer deals than were completed in the first quarter of 2006.