Latest News on Startups and Venture Investments for Tuesday, November 18, 2025: The Return of Mega Funds, Record AI Rounds, IPO Revival, M&A Wave, Renewed Interest in Crypto Startups, and New "Unicorns". A Comprehensive Overview for Venture Investors and Funds.
By mid-November 2025, the global venture market is steadily recovering from the downturn of recent years. According to industry analytics, the total volume of venture investments in the third quarter of 2025 reached approximately $97 billion – nearly 40% higher than a year earlier, marking the best quarter since 2021. The "venture winter" of 2022-2023 is behind us, and the influx of private capital into tech startups is noticeably accelerating. Large funding rounds and the launch of new mega funds signal a return of risk appetite among investors, although they still act selectively and cautiously.
A venture upswing is observed across all regions. The US leads (especially in the AI segment), investment volumes have doubled in the Middle East, Germany has overtaken the UK for the first time in Europe, and growth in India and Southeast Asia compensates for declines in China. Tech hubs are emerging in Africa and Latin America; the startup scenes in Russia and CIS countries are also striving to keep pace despite restrictions. Overall, the global market is gaining strength, though investors continue to make selective investments—primarily in the most promising and resilient projects.
- Return of Mega Funds and Large Investors. Leading venture players are raising record capital and once again flooding the market with investments, reigniting risk appetite.
- Record AI Rounds and New Unicorns. Mega funding rounds in artificial intelligence are inflating startup valuations and spawning a new generation of “unicorns.”
- Revival of the IPO Market. Successful public offerings of tech companies and new listing plans confirm that the long-awaited “window” for exits has reopened.
- Diversification of Sectors. Venture capital is flowing into not just AI, but also fintech, green technologies, biotech, defense projects, and other sectors—investment focus is expanding.
- Wave of Consolidation and M&A. Major mergers and acquisitions are reshaping the industry landscape, creating opportunities for profitable exits and accelerated company growth.
- Renewed Interest in Crypto Startups. Following the crypto winter, blockchain projects are receiving significant funding and investor attention once again.
- Local Focus. New funds and initiatives are emerging in Russia and the CIS to develop local startups, attracting investor interest despite external limitations.
Return of Mega Funds: Big Money Back in the Market
The largest investment funds and institutional players are re-entering the venture arena, signaling a new cycle of risk appetite. Following a downturn in VC fundraising during 2022-2024, leading firms are resuming capital attraction and launching mega funds, demonstrating confidence in market potential. For instance, the Japanese conglomerate SoftBank is forming its Vision Fund III with a target of around $40 billion, while in the US, Andreessen Horowitz is raising a record fund of about $20 billion with a focus on investments in late-stage AI startups.
Sovereign funds in the Middle East are also becoming active, injecting billions of dollars into high-tech projects. Simultaneously, dozens of new funds are appearing across many regions, attracting substantial institutional capital for investments in tech companies. The return of such “mega structures” means that startups have more opportunities for financing, and competition among investors for the best deals is intensifying.
Record Investments in AI: A New Wave of Unicorns
The artificial intelligence sector is the main driver of the current venture upswing, demonstrating record levels of funding. Approximately half of all venture investments in 2025 are directed towards AI startups, with total global investments in AI potentially exceeding $200 billion by the end of the year—a unprecedented level for the industry. This frenzy is attributed to the promise that AI technologies will dramatically enhance efficiency across many sectors and unlock multi-trillion dollar markets—from manufacturing automation to personal digital assistants. Despite warnings of overheating, funds continue to ramp up investments, fearing they might miss the next technological revolution.
The massive influx of capital is accompanied by its concentration among industry leaders: the lion’s share of investments goes to a few prominent players. For instance, the French startup Mistral AI attracted about $2 billion, while OpenAI secured around $13 billion; both of these mega rounds sharply increased company valuations. Such deals inflate startup values, but simultaneously concentrate resources on the most promising areas, laying the groundwork for future breakthroughs. In recent weeks, several companies have announced significant rounds—among them, the British Synthesia (raised $200 million at a valuation of around $4 billion for developing its AI video generation platform) and the American Armis (secured $435 million in a pre-IPO round at a valuation of $6.1 billion for expanding its IoT cybersecurity platform).
Revival of the IPO Market and Exit Prospects
Against a backdrop of rising valuations and capital influx, tech companies are actively preparing for public offerings once again. After nearly two years of dormancy, a surge in IPOs has emerged as a key exit mechanism for venture investors. Several successful placements have confirmed the opening of a “window” of opportunities. For example, American fintech unicorn Circle recently went public with a valuation of around $7 billion—this debut has restored confidence among investors that the market is ready to absorb new tech issuers. Following this, a number of major private companies are eager to take advantage of the favorable situation. Even OpenAI is considering its own IPO in 2026 with a potential valuation of up to $1 trillion, which would be an unprecedented case for the industry.
Improved conditions and greater certainty in regulations (such as the passing of laws on stablecoins and the anticipated approval of Bitcoin ETFs) give startups confidence: the public market has once again become a viable option for capital attraction and exits for investors. The return of successful IPOs is crucial for the entire venture ecosystem, as profitable exits allow funds to return capital and redirect resources into new projects, closing the investment cycle.
Diversification of Sectors: Broader Investment Horizons
In 2025, venture investments are covering a much wider range of sectors and are no longer limited to just AI. Following last year’s downturn, fintech is rebounding: large rounds are occurring not only in the US but also in Europe and emerging markets, fueling the growth of new financial services. Concurrently, driven by sustainability, investors are actively funding climate and “green” projects. Both aerospace and defense technologies are gaining momentum—funds are increasingly investing in aerospace startups, drone systems, and cybersecurity companies.
Thus, the investment focus has significantly expanded: aside from AI innovations, venture capital is actively directed towards fintech, renewable energy, biotech/medtech, defense initiatives, and other areas. This diversity makes the startup ecosystem more resilient and reduces the risk of overheating a single market segment.
Wave of Consolidation and M&A Transactions
High startup valuations and intense competition for markets have led to a new wave of mergers and acquisitions. Major tech corporations are again entering the M&A landscape, aiming to acquire promising teams and technologies. For example, Google has agreed to acquire the Israeli cybersecurity startup Wiz for approximately $32 billion—a record sum for the Israeli market. Such activity shows that the ecosystem has matured: established startups are either merging with each other or becoming acquisition targets for companies, while venture funds are getting chances for long-awaited profitable exits and returns of invested capital.
Renewed Interest in Crypto Startups
Following an extended “crypto winter,” the blockchain startup market is notably reviving. By autumn 2025, funding for crypto projects reached its peak in several years: regulators have provided more clarity (laws on stablecoins have been passed, and Bitcoin ETFs are expected to launch), and financial giants are returning to this market, supporting the influx of new capital. Furthermore, Bitcoin's price has surpassed the psychological threshold of $100,000 for the first time, fueling investor optimism. Crypto startups that survived the “cleaning” from speculative projects are gradually rebuilding trust and once again attracting attention from venture and corporate investors.
The Local Market: Russia and CIS
In Russia and neighboring countries, several new venture funds have emerged in the past year; government structures and corporations have launched programs to support technological startups. Despite a relatively modest total investment volume and ongoing barriers (high interest rates, sanctions, etc.), the most promising projects continue to attract funding. The gradual formation of a local venture infrastructure is already creating a foundation for the future—by the time external conditions improve and global investors are able to return more actively to the region.
Conclusion: Cautious Optimism
The prevailing sentiment in the venture capital industry is one of moderate optimism. The rapid growth in startup valuations (especially in the AI segment) evokes memories of the dot-com boom and raises concerns about overheating. However, the current excitement simultaneously directs colossal resources and talents into new technologies, laying the foundation for future innovative breakthroughs. By the end of 2025, it is evident that the startup market has revived: record funding volumes are being recorded, new IPOs are on the horizon, and funds have accumulated unprecedented capital reserves. At the same time, investors have become noticeably more selective, primarily investing in the most promising projects with sustainable business models.
The key question is whether the high expectations of the AI boom will be justified and whether other sectors can match its attractiveness. For now, the appetite for innovation remains high, and the market looks to the future with cautious optimism.
