Latest Startup and Venture Investment News for Friday, November 21, 2025: The Return of Mega Funds, Major AI Rounds, IPO Revitalization, M&A Waves, Growing Interest in Crypto Startups, and New "Unicorns". A Comprehensive Overview for Venture Investors and Funds.
By the end of November 2025, the global venture market is confidently continuing its recovery after the downturn of recent years. According to industry analysts, in the third quarter of 2025, the total volume of venture investments reached approximately $97 billion—a nearly 40% increase from the previous year, 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 investor appetite for risk, though they still operate selectively and cautiously.
Growth in venture activity is being observed across all regions. The USA continues to lead (especially in the artificial intelligence segment), while investment volumes in the Middle East have doubled over the year. Germany has surpassed the UK for the first time in terms of deal numbers in Europe, and in Asia, growth in India and Southeast Asia compensates for decreased activity in China. New tech hubs are also forming in Africa and Latin America; the startup ecosystems in Russia and the CIS are striving to keep pace despite external constraints. Overall, the global market is gaining strength, although investors are still investing selectively—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 saturating the market with investments, reigniting appetite for risk.
- Record AI Rounds and a New Generation of "Unicorns": Mega rounds of funding in artificial intelligence are driving up startup valuations and creating a wave of new companies valued above $1 billion.
- Revival of the IPO Market: Successful public market exits by 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 only AI but also fintech, "green" technologies, biotech, defense projects, and other sectors—investment focus is broadening.
- 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 a prolonged "crypto winter," blockchain projects are once again receiving significant funding and attention from investors.
- Local Focus: Russia and the CIS: New funds and initiatives for developing local startups are emerging in the region, attracting investor interest despite external constraints.
Return of Mega Funds: Big Money Back in the Market
The largest investment funds and institutional players are returning to the venture arena—this signals a new wave of risk appetite. After a decline in VC fundraising during 2022-2024, leading firms are resuming capital raising and launching mega funds, demonstrating faith in market potential. For instance, Japan's SoftBank is forming the Vision Fund III, with approximately $40 billion, while in the USA, Andreessen Horowitz is raising a record fund of about $20 billion focusing on late-stage investments in AI startups.
Sovereign funds from Gulf countries are also becoming active, pouring billions of dollars into tech projects and developing government mega-programs to support the startup sector—world-class tech hubs are forming in the Middle East. Concurrently, numerous new venture funds are being established worldwide, attracting substantial institutional capital for investments in high-tech areas. Renowned firms from Silicon Valley have also increased their stores of "dry powder": in the USA alone, funds have accumulated hundreds of billions of dollars in uninvested capital, ready to work as confidence returns to the market. The influx of this "big money" is providing liquidity to the startup ecosystem, supporting the growth of promising companies. The return of mega funds and large investors not only intensifies competition for the best deals but also instills confidence within the industry regarding future capital influx.
Record Investments in AI: A New Wave of "Unicorns"
The artificial intelligence sector is the main driver of the current venture boom, showcasing unprecedented funding levels. Approximately half of all venture investments in 2025 are directed toward AI startups, with global AI investments expected to exceed $200 billion by the end of the year. Investors are keen to secure leading positions in this segment, funneling colossal amounts into the most promising projects. For example, California-based startup OpenAI has raised around $13 billion in total, while French firm Mistral AI received approximately €1.7 billion (around $2 billion)—both mega rounds have sharply increased company valuations and underscore the excitement surrounding AI startups.
The ongoing investment boom is generating a new generation of "unicorns"—companies valued over $1 billion. Recently, the number of such startups has been rapidly increasing again. Just in October 2025, around 20 new "unicorns" emerged globally, setting a record monthly figure for the last three years. Despite expert warnings about the risk of market overheating, investor appetite for AI startups remains strong.
IPO Market Revitalization: Window of Opportunity for Exits
Against the backdrop of rising valuations and capital influx, tech companies are once again actively preparing to go public. Following nearly two years of dormancy, a new wave of IPOs is emerging. Hong Kong has initiated this wave in Asia: in the past few months, several large tech companies have gone public, collectively raising billions of dollars. For instance, China's battery giant CATL successfully placed shares, raising around $5 billion, demonstrating that investors in the region are again ready to actively participate in IPOs.
The situation is also improving in the USA and Europe. American fintech "unicorn" Chime recently debuted on the stock exchange, with shares soaring approximately 30% on the first day of trading. Soon after, design platform Figma conducted its IPO, raising around $1.2 billion with a valuation of about $15-20 billion; its shares also confidently increased in the early days. In the second half of 2025, other well-known startups, including payment service Stripe and several other highly valued companies, are preparing for public market exits.
Even the crypto industry is trying to take advantage of this revival: for example, fintech company Circle successfully conducted its IPO over the summer (its shares then significantly increased), and cryptocurrency exchange Bullish has applied for a listing in the USA with a target valuation of around $4 billion. The return of activity in the public market is crucial for the entire venture ecosystem: successful exits allow funds to realize profitable returns and redirect freed capital into new projects, supporting ongoing industry growth.
Diversification of Sectors: Broader Investment Horizons
In 2025, venture investments are covering a much wider range of sectors and are no longer concentrated solely on artificial intelligence. Following last year's downturn, fintech is showing a noticeable revival: significant funding rounds are occurring not only in the USA but also in Europe and emerging markets, fueling the growth of promising financial services. Concurrently, there is increased interest in climate technologies and "green" energy—these areas are attracting record investments amid the global trend of sustainable development.
The appetite for biotechnology is also returning, with the emergence of new drug developments and medical online platforms once again attracting capital as valuations within the sector recover. Furthermore, with heightened attention to security, investors are increasingly supporting defense technology projects. Accordingly, the sectoral focus of venture capital is broadening, making the entire startup ecosystem more resilient and lowering the risk of overheating in individual segments.
Wave of Consolidation and M&A Deals
High valuations of startups and fierce competition for markets have led to a new wave of mergers and acquisitions. Large tech corporations are actively engaging in deals again, reshaping the power dynamics within the industry. For instance, Google has agreed to acquire Israeli cybersecurity startup Wiz for approximately $32 billion—a record sum for Israel's tech sector.
Such mega-deals demonstrate the tech giants' ambition to acquire key technologies and talent. Overall, the current activity in M&A and major venture deals indicates market maturation. Mature startups are merging with each other or becoming acquisition targets for corporations, while venture investors are finally getting opportunities for long-awaited profitable exits. The wave of consolidation accelerates company growth and revitalizes the ecosystem, cleansing it of weak players.
Renewed Interest in Crypto Startups
Following a prolonged "crypto winter," the market for blockchain startups is noticeably reviving. In the fall of 2025, funding for crypto projects reached maxima not seen in recent years. New large rounds are occurring in the Web3 infrastructure and decentralized finance sectors, with capital once again beginning to flow into promising blockchain platforms. Growth in the cryptocurrency market has also played a role: Bitcoin has surpassed the psychological mark of $100,000, reigniting investor enthusiasm for the sector.
Venture funds that were previously cautious about crypto assets are resuming investments in projects at the intersection of technology and finance. New initiatives are emerging: for instance, funds focused on crypto startups and incubators for Web3 projects are being launched. Although recent events have taught investors to be cautious (volatility and regulatory risks persist), they are gradually increasing their presence in the crypto sector, striving not to miss out on potential growth from new technology platforms.
Local Market: Russia and the CIS
In Russia and neighboring countries, several new venture funds have emerged over the past year, and government entities and corporations have launched programs to support technological startups. Despite the relatively modest total volume of investments and ongoing barriers (high rates, sanctions, etc.), the most promising projects continue to attract funding. The gradual formation of a domestic venture infrastructure already creates a foundation for the future—by the time external conditions improve, and global investors can more actively return to the region.
Conclusion: Cautious Optimism
The atmosphere in the venture capital industry is currently characterized by moderately optimistic sentiments. The rapid growth of startup valuations (especially in the AI segment) somewhat resembles the dot-com boom era, raising concerns about possible market overheating. However, the current excitement is simultaneously directing colossal resources and talent toward new technologies, laying the groundwork for future innovative breakthroughs. By the end of 2025, the startup market has visibly revived: record funding levels are being observed, new IPOs are on the horizon, and funds have accumulated unprecedented reserves of capital.
At the same time, investors have become noticeably more selective, preferring to invest primarily in projects with sustainable business models and genuine growth potential. The main question is whether high expectations from the AI boom will be met and whether other sectors can match its attractiveness for capital. For now, appetite for innovation remains high, and the market looks forward with cautious optimism.
