Global Startup and Venture Capital News — Friday, December 26, 2025: Venture Boom, AI Mega Rounds, IPO Revival, and Global Trends. A Review for Venture Investors and Funds.
By the end of 2025, the global venture capital market is demonstrating a solid recovery after the downturn of recent years. Analysts estimate that the combined volume of venture investments worldwide has significantly increased compared to last year, and the fourth quarter confirmed the trend towards revitalization. The prolonged "venture winter" of 2022–2023 is behind us, and the influx of private capital into tech startups is accelerating. Major deals worth hundreds of millions and billions of dollars are becoming a reality again, and the IPO plans of promising companies are back on the agenda. Leading venture funds and corporations have resumed large-scale investment programs, and governments across various countries have strengthened support for innovative businesses. Startups are receiving sufficient liquidity for growth and scaling, signaling the definitive exit of the industry from its downturn period.
Currently, venture activity spans all regions. The United States maintains its lead, primarily due to colossal investments in artificial intelligence. In the Middle East, investment in startups has skyrocketed thanks to generous funding from sovereign wealth funds. In Europe, there is a shift in power dynamics: Germany has overtaken the UK in total venture deal volume for the first time in a decade, solidifying the positions of continental hubs. In Asia, growth is shifting from China to India and Southeast Asia—these markets are attracting record capital while the Chinese market has cooled amid regulatory risks. Africa and Latin America are also making their mark, with the emergence of the first unicorn companies in these regions, confirming the truly global nature of the current venture surge. The startup scenes in Russia and the CIS strive to keep pace despite external constraints, relying on local initiatives and support from partner countries. Overall, the global picture indicates the formation of a new venture boom, although investors are proceeding with caution, selecting the most promising and resilient projects.
- The Return of Mega Funds and Large Capital. Leading venture players are launching record funds and once again saturating the market with liquidity, fueling the appetite for risk.
- Record Rounds in AI and New Unicorns. Unprecedented investments in artificial intelligence are skyrocketing, creating a wave of new unicorns and increasing valuations of industry leaders.
- Revival of the IPO Market. Successful public offerings of tech companies and an increase in listing applications indicate that the long-awaited "window of opportunity" for exits has reopened.
- Diversification of Investments: Not Just AI. Venture capital is flowing not only into AI but also into fintech, climate projects, biotech, defense technologies, and other sectors, broadening market horizons.
- A Wave of Consolidation and M&A Deals. Major mergers, acquisitions, and strategic alliances are reshaping the industry landscape, creating new opportunities for exits and accelerated growth of companies.
- Revival of Interest in Crypto Startups. After a prolonged "crypto winter," blockchain projects are once again attracting significant funding amid the rise of the digital asset market and relaxed regulation.
- Global Expansion of Venture Capital. The investment boom is reaching new regions—from the Gulf states and South Asia to Africa and Latin America—forming local tech hubs worldwide.
- Local Focus: Russia and the CIS. New funds and initiatives are emerging in the region to develop local startup ecosystems, gradually increasing investor interest in local projects.
The Return of Mega Funds: Big Money Back on the Market
The largest investment players are triumphantly returning to the venture arena, marking a new surge in risk appetite. After several years of stagnation, leading funds are once again attracting record capital and launching mega funds, showcasing confidence in market potential. For instance, Japan's SoftBank is forming its third Vision Fund with approximately $40 billion, focusing on advanced technologies (primarily projects in AI and robotics). Investment companies that previously took a pause are coming back: for example, Tiger Global has announced a new fund of around $2.2 billion — smaller than its former giant pools but with a more selective strategy. In December, Lightspeed Venture Partners raised a record $9 billion for new funds — the largest funding round in the company’s history — to invest in promising projects (with a significant focus on AI). Sovereign funds in the Middle East are also ramping up: the governments of oil-rich countries are injecting billions into innovative programs and tech parks, establishing powerful regional startup hubs.
Simultaneously, dozens of new venture funds are emerging around the world, attracting significant institutional capital for investment in high-tech companies. The largest funds from Silicon Valley and Wall Street have accumulated unprecedented reserves of free capital (“dry powder”) — hundreds of billions of dollars are ready for deployment as the market revives. The influx of this “big money” is already noticeable: the ecosystem is filling with liquidity, competition for the best deals is intensifying, and the industry is receiving a much-needed boost of confidence. Important to note is the involvement of governments: for instance, the German government has launched the Deutschlandfonds with a volume of €30 billion to attract private capital for technology projects and economic modernization, emphasizing the authorities' commitment to support the venture market.
Record Investments in AI: A New Wave of Unicorns
The artificial intelligence sector has emerged as the main driver of the current venture surge, showcasing record levels of funding. Investors globally are eager to establish a foothold among the AI market leaders, directing colossal funds towards the most promising projects. In recent months, several AI companies have attracted unprecedentedly large rounds: the language model developer Anthropic received about $13 billion in investments (raising the company's valuation to approximately $180 billion), Elon Musk's xAI project attracted around $10 billion (partly through debt financing, valued at approximately $200 billion), and one of the infrastructure AI startups managed to secure over $2 billion, increasing its valuation to about $30 billion. OpenAI has drawn particular attention: a series of mega-deals throughout the year have skyrocketed the company's valuation to an astronomical ~$500 billion, making OpenAI the most valuable private startup in history. In one financing round, Japan's SoftBank led an investment of approximately $40 billion (valuing OpenAI at about $300 billion), and now reports indicate that Amazon is ready to invest up to $10 billion. SoftBank is hastily trying to close its part of the deal (~$22.5 billion) by the end of the year — this move will further solidify OpenAI’s position at the top of the market and affirm SoftBank's role as a key player in the AI industry.
Such massive deals confirm the excitement surrounding AI technologies, inflating company valuations to unprecedented heights and generating dozens of new unicorns. Moreover, venture investments are being directed not only to applied AI services but also to critically important infrastructure for them. "Smart money" is flowing even into the proverbial "shovels and pickaxes" of the digital gold rush, ranging from specialized chip production and cloud platforms to energy consumption optimization tools for data centers. Thus, the race for leadership in AI is unfolding on all fronts, and access to capital and technologies is becoming a decisive success factor. By the end of 2025, the AI segment is estimated to have accounted for approximately half of all global venture funding (versus ~34% the previous year), with investment in the AI sector increasing by more than 70% compared to last year. This surge sets the tone for the entire industry, and in 2026, market attention will remain focused on the opportunities and risks associated with artificial intelligence.
Revival of the IPO Market: Exit Window Open
Following a prolonged hiatus, the market for initial public offerings is making a comeback. In 2025, the number of tech IPOs in the US increased by over 60% compared to the previous year. In recent weeks, several large companies have successfully debuted on the stock market, convincingly demonstrating that the “window of opportunity” for venture investors has indeed reopened. A series of high-profile listings took place in Hong Kong, where several tech firms went public, collectively raising billions of dollars in investments. For instance, the Chinese battery manufacturer CATL raised approximately $5 billion during its IPO — investors in the region are again ready to actively participate in new public deals.
The situation in the US and Europe regarding public offerings has also improved significantly. A number of highly valued startups have successfully conducted IPOs, confirming a revived appetite for new issuers. For example, fintech unicorn Chime saw its stock price rise by about 30% on its first trading day after going public. The designer platform Figma raised approximately $1.2 billion during its offering (valued at around $15–20 billion), and its stock price steadily increased in the first days of trading. The success of such companies is restoring investors' faith in the potential for profitable exits and encouraging other unicorns to consider going public.
New high-profile offerings are on the horizon. A list of expected IPOs includes payment giant Stripe as well as several other large private companies eager to take advantage of the favorable climate. Notably, SpaceX: Elon Musk's space company has officially confirmed plans to conduct a large-scale IPO in 2026, aiming to raise over $25 billion — this could become one of the largest offerings in history. The crypto industry is also taking notice: the stablecoin issuer Circle successfully went public in the summer (with its stock significantly rising post-IPO), while cryptocurrency exchange Bullish filed for a listing in the US with a target valuation of around $4 billion. The return of activity in the IPO market is crucial for the entire startup ecosystem: successful public exits allow funds to realize profit and redirect freed capital into new projects, closing the venture financing cycle and supporting further industry growth.
Diversification of Investments: Not Just AI
In 2025, venture investments encompass a much broader range of industries and are no longer limited to just artificial intelligence. After the downturn of previous years, fintech is once again budding: major funding rounds are happening in both the US and Europe, as well as in emerging markets, stimulating the emergence of new digital financial services and banks. At the same time, interest in climate technologies and "green" energy is increasing — projects in renewable energy, eco-friendly materials, and agrotechnologies are attracting record investments amid the global trend of sustainable development.
Investor appetite for biotechnology is also returning. The emergence of breakthrough developments in medicine and the rise of valuations in the digital health sector are once again attracting capital, reviving interest in biotech. Additionally, increased attention to security is driving funding for defense technology projects — from modern drones to cybersecurity systems. The partial stabilization of the digital asset market and the easing of regulations in several countries have allowed blockchain startups to begin attracting capital again. This expansion of industrial focus makes the entire startup ecosystem more resilient and reduces the risk of overheating in certain segments of the economy. As a result, the venture market is diversifying, covering everything from fintech and climate tech to biomedicine and defense developments, laying the groundwork for long-term balanced growth.
Mergers and Acquisitions: A New Wave of Consolidation
Major mergers and acquisitions, as well as strategic alliances between technology companies, are coming to the forefront. High valuations of startups and fierce competition for markets have led to a new wave of consolidation. Major corporations are actively scouting for promising assets: for instance, Google has agreed to acquire Israeli cybersecurity startup Wiz for about $32 billion — a record sum for Israel's tech sector. Reports also indicate that other IT giants are ready for significant acquisitions: for example, Intel is rumored to be negotiating to acquire AI chip developer SambaNova for approximately $1.6 billion (the startup was valued at $5 billion back in 2021).
This new wave of acquisitions demonstrates the eagerness of big players to acquire key technologies and talented teams. Overall, the increase in M&A activity signals long-awaited opportunities for profitable exits for venture investors. In 2025, there was a marked uptick in mergers and acquisitions across various segments: more mature startups are merging with one another or becoming targets for corporations, reshaping the balance of power in markets. Such steps help companies accelerate development by combining resources and audiences, while investors benefit from improved investment returns through successful exits. Thus, M&A is once again becoming an essential exit mechanism alongside IPOs, enriching the growth narrative of the industry.
Revival of Interest in Crypto Startups: The Market Thaws
Following an extended "crypto winter," the blockchain startup segment is beginning to revive. Gradual stabilization and growth in the digital assets market (Bitcoin this year first exceeded the historical threshold of $100,000, and by the end of December is consolidating around the $90,000 mark) have renewed investor interest in crypto projects. An additional boost has come from a relative liberalization of regulations: in several countries, authorities have softened their approach to the crypto industry, establishing clearer "rules of the game" for market participants. As a result, in the second half of 2025, several blockchain companies and crypto fintech startups managed to attract significant funding — a signal that after several years of stagnation, investors are once again seeing potential in this sector.
The return of crypto investments broadens the overall landscape of technological financing, reintroducing a segment that had long remained in the shadows. Now, alongside AI, fintech, and biotech, venture capital is once again actively exploring the realm of crypto technologies. This trend opens up new opportunities for innovation and profitability beyond mainstream directions, enhancing the broader narrative of global technological advancement. However, investors have become more discerning: they now assess crypto startups more carefully, paying particular attention to the actual utility of products and the sustainability of business models.
Global Expansion of Venture Capital: The Boom Reaches New Regions
The geography of venture investments is rapidly expanding. Beyond traditional tech hubs (the US, Europe, China), the investment boom is reaching new markets around the globe. Gulf states (such as Saudi Arabia and the UAE) are investing billions into the creation of local tech parks and sustaining startup ecosystems in the Middle East. India and Southeast Asian countries are experiencing a true flourishing of their startup scene, attracting record amounts of venture capital and generating new unicorns. In Africa and Latin America, fast-growing tech companies are also emerging – for the first time, some of them have reached valuations over $1 billion, affirming the status of these regions as legitimate players in the global market. For example, the fintech platform Plata in Mexico recently secured around $500 million (the largest private deal in the history of Mexican fintech) ahead of launching its own digital bank — this case vividly underscores the growing investor interest in promising markets.
Thus, venture capital has become more global than ever. Promising projects today can secure funding regardless of geography if they demonstrate potential for scaling the business. For investors, this opens new horizons: high-yield opportunities can be searched across the globe, diversifying risks among different countries and regions. The spread of the venture boom into new territories also facilitates the exchange of experiences and talents, making the global startup ecosystem more interconnected and dynamic.
Russia and the CIS: Local Initiatives Amid Global Trends
Despite external sanctions pressure, startup activity in Russia and neighboring countries is gradually reviving. In 2025, several new venture funds were announced (totaling several tens of billions of rubles) aimed at supporting early-stage technological projects. Large corporations are creating their own accelerators and corporate venture units, while government programs help startups secure grants and attract investors. For example, as a result of Moscow's "Innovators Academy" program, over 1 billion rubles were attracted to local technological projects.
While the scale of venture deals in the region still lags behind global figures, they are steadily increasing. The easing of certain restrictions is opening opportunities for capital inflow from "friendly" countries, partially offsetting the outflow of Western investments. Some tech companies are contemplating taking their divisions public as market conditions improve: for instance, the management of VK Tech (a subsidiary of VK) has recently indicated the possibility of an IPO in the foreseeable future. New governmental support measures and corporate initiatives are intended to give additional impetus to the local startup ecosystem, integrating its development with global trends.
Conclusion: Cautious Optimism on the Threshold of 2026
By the conclusion of 2025, moderately optimistic sentiments prevail in the venture industry. Record funding rounds and successful IPOs have clearly demonstrated that the downturn period is behind us. However, market participants continue to exercise caution. Investors are paying increased attention to the quality of projects and the sustainability of business models, striving to avoid unwarranted hype. The focus of the new wave of venture investment is not merely on chasing inflated valuations but on seeking genuinely promising ideas capable of delivering profits and transforming entire industries.
Even the largest funds are calling for a balanced approach. Many participants note that valuations of certain startups remain very high and are not always backed by strong business metrics. Aware of the overheating risk (especially in the AI sector), the venture community intends to act thoughtfully, combining bold investments with thorough "homework" in market and product analysis. Thus, on the threshold of 2026, the industry welcomes the new year with cautious optimism, aiming for sustainable growth without repeating past excesses.
